On May 28, it was reported that according to documents disclosed by the Hong Kong Stock Exchange on May 28, Cui Zhiqiang increased his holdings at an average price of HK$0.212 per share on May 17$KAFELAKU COFFEE (01869.HK)$55.8 million common shares worth approximately HK$11.8296 million. After the increase in holdings, Cui Zhiqiang's latest shareholding was 141 million shares, and the good position ratio increased from 8.01% to 12.72%.
Additional Information: The Figure of Purchasing by Mr. Cui Zhiqiang's Remarks, Ms. Tan Qingxuan was wrong, this form has amended to the correct figureWhy 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?
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.