Value Partners payout before shares sale

Aiden He

Value Partners (0806) plans to distribute a special dividend of 50 HK cents.

That will come before completion of its founding shareholders' sale of around 20.2 percent of the total shares in the company to GF Securities (1776) for HK$1.11 billion.

Cheah Capital Management, its guarantor Cheah Cheng Hye and Yeh V-Nee have agreed to sell up to 369 million shares they own to a unit of the Guangzhou-based brokerage for HK$3 apiece, according to a filing yesterday.

Shares of Value Partners closed 7.3 percent higher at HK$2.35 ahead of the announcement yesterday.

After the completion of the deal, which is expected to happen by the end of November, Cheah and CCML's stake in the firm will drop from 25.4 percent to 13.1 percent, and that of Yeh from 16.3 percent to 8.45 percent.