On May 22, it was reported that according to documents disclosed by the Hong Kong Stock Exchange on May 22, Taiping Life Insurance Co., Ltd. sold at an average price of HK$3.8 per share on May 17$ABC (01288.HK)$100 million H shares worth approximately HK$380 million. After the sale, the latest number of shares held by Taiping Life Insurance Co., Ltd. was 1,438 billion shares, and the good position ratio dropped from 5.00% to 4.68%.
Additional information: Taiping Life Insurance Co., Ltd. has completed the sale of 100,000,000 shares of the listed corporation and no longer holds the reportable interests of the listed corporation.What is disclosure of interests?
As required by the Hong Kong Stock Exchange, major shareholders (individuals and companies holding 5% or more of the shares) are required to disclose their share interests in listed companies. The directors and top executives of a listed company must disclose their interest in shares and debentures of the listed company and the company 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.