On October 31, according to documents disclosed by the Hong Kong Stock Exchange on October 31, Chen Guomin increased his OTC holdings by an average price of HK$0.185 per share on October 25$ST INTL HLDGS (08521.HK)$58.99 million common shares, with a value of approximately HK$10.913,200. After increasing his holdings, Chen Guomin's latest number of shares held was 805.54 million shares, and the good position ratio rose from 4.49% to 13.98%.
Why did activists increase their holdings, but their shareholding ratio declined?
This may be because listed companies have placed additional shares, leading to a dilution in the shareholding ratio of actors.
What is disclosure of interests?
According to the requirements of the Hong Kong Stock Exchange, major shareholders (individuals and companies holding 5% or more of the shares) are required to disclose their shareholding interests in listed companies. The directors and top executives of a listed company are required to disclose their interests in the shares and debentures of the listed company and companies linked to the listed company.
Why is disclosure of interests important?
Disclosure of interests allows investors to identify (1) persons who control or are capable of controlling the stock interests of listed companies, and (2) persons who may benefit from transactions involving linked entities of listed companies.