Property tycoon Lee Shau-kee offloads another HK$75m worth of shares in Henderson Land

PUBLISHED : Sunday, 24 December, 2017, 4:45pm
UPDATED : Sunday, 24 December, 2017, 5:00pm

The buying remained high while the selling among directors rose for the second straight week based on filings on the Hong Kong exchange from December 18 to 22.

A total of 58 companies recorded 327 purchases worth HK$1.25 billion (US$160.6 million) versus 13 companies with 47 disposals worth HK$322 million. The number of firms on the buying side fell compared with the previous week’s 67 firms while the number of purchases was slightly down from 354 purchases. The buy value was sharply up from the previous week’s acquisitions worth HK$595 million.

The selling, on the other hand, was up from the previous week’s eight companies, 35 disposals and HK$300 million. The huge sales value was again because of tycoon Lee Shau-kee as he unloaded a further HK$75.5 million worth of shares of Henderson Land Development last week at an average of HK$49.89 each. That brought his total sales in the company this month to HK$518 million. Aside from Henderson Land, the tycoon sold 4.4 million shares of Henderson Investment last week at HK$0.66 each.

The sales by the property magnate in Henderson Land and Henderson Investment this month were his first disposals in these two companies based on filings on the exchange since 1993.

Meanwhile, the buy-back activity rebounded with 32 companies that posted 156 repurchases worth HK$484 million based on filings from December 15 to 21.

The number of firms was consistent with the previous five-day totals of 31 companies while the number of trades and value were sharply up from the previous week’s 129 repurchases worth HK$257 million.

There were several significant purchases last week with buy-backs in Freeman FinTech and Sino Land and insider buys in Xtep International Holdings.

Financial services provider Freeman FinTech repurchased 20.6 million shares from December 20 to 21 at an average of HK$0.45 each. The group previously acquired 4.76 million shares from April 1994 to April 2000 at HK$1.52 to HK$0.30 each or an average of HK$0.42 each. The company announced its interim results on November 29 with profit down by 2.86 per cent to HK$239.17 million. The counter closed at HK$0.48 on Friday. It is worth noting that the recent buy-backs accounted for 46 per cent of the stock’s trading volume and were made on the back of the 22 per cent drop in the share price since June from HK$0.57.

Blue chip property developer Sino Land repurchased 920,000 shares on December 18 at HK$13.22 each. The group previously acquired 572,000 shares in August 2016 at HK$13.54 each, one million shares in June 2016 at HK$11.66 each and 1.76 million shares in January 2016 at an average of HK$10.44 each. Before the buybacks in 2016, the company acquired 2.57 million shares from April 16 to July 8, 2015 at HK$14.02 to HK$11.12 each or an average of HK$12.38 each, 436 million shares from April 2000 to December 2014 at HK$1.95 to HK$24.45 each or an average of HK$9.74 each and 85.7 million shares from January 1995 to August 1998 at HK$7.91 to HK$1.98 each or an average of HK$4.71 each. The recent buy-back was made on the back of an 18 per cent rebound in the share price since November 2016 when they were trading at HK$11.24. The counter closed at HK$13.54 on Friday.

Ding Shui-po, chairman and chief executive of sportswear designer and manufacturer Xtep International bought 5.2 million shares from December 12 to 21 at an average of HK$2.88 each. The trades increased his holdings to 1.332 billion shares or 59.98 per cent of the issued capital. He previously acquired 5.5 million shares in July 2015 at an average of HK$2.59 each, 7.8 million shares from July 2011 to May 2012 at HK$4.66 to HK$3.03 each or an average of HK$3.81 each and 3.5 million shares in October 2008 at an average of HK$1.29 each. It should be pointed out that following the previous buy-back in July 2015, the share price rose from his purchase price of HK$2.59 to HK$4.74 in November 2015. The stock closed at HK$2.99 on Friday.

Robert Halili is managing director of Asia Insider