? ?
BIZCHINA / Photos
Hangxiao suspends trading over hampered contract reports
(Shanghai Daily)
Updated: 2007-07-10 13:50
Trading in Shanghai-listed Hangxiao Steel Structure Co was
suspended?Monday as the company was obliged to clarify media reports
saying its contract, worth billions of United States dollars with the
government of Angola, was under reconsideration.
The National Reconstruction Department of the African country has
canceled some contracts with China International Fund Limited, which
indicated other deals may be jeopardy, including Hangxiao's house
construction agreement. The contract is worth 34.4 billion yuan (US$4.52
billion), China Business News reported, citing an insider with the fund
as saying last week.
The report triggered Hangxiao to issue an urgent statement to the
Shanghai Stocks Exchange that it will halt trading today to "clarify news
reports."
On May 10, Hangxiao and its senior managers were fined about one million
yuan for violating information disclosure rules by China's securities
watchdog.
Shares of Hangxiao soared by the 10-percent daily limit for four straight
days before the firm announced huge orders for building materials and
services in Angola.
The company was accused of not releasing information about its
negotiations with Angola until the two parties had signed a draft
agreement. This violated rules on information disclosure, said the stock
exchange in a statement on May 11.
The company will only be allowed to resume stock trading after an
official public explanation about its investment situation in Angola,
according to China's stock rules.
(For more biz stories, please visit Industry Updates)
Learn Chinese
No comments:
Post a Comment