(Updates with company announcement paras 1-5)
HONG KONG Jan 24 Vanke Property Overseas Ltd
, which suspended the trading of its shares on
Thursday, said one of its controlling shareholders has won a
tender to develop a plot of land in the New Territories in Hong
In an announcement issued through Hong Kong's stock exchange
on Thursday night, it said the tender was won by a joint venture
company formed by its controlling shareholder Vanke Property
(Hong Kong) Co Ltd, an independent third party and connected
China Vanke Co Ltd., which wholly owns Vanke
(Hong Kong), may consider transferring its interest in the plot
of land to Vanke Property Overseas, according to the statement.
However, no decision has been made and this transfer "may or
may not materialise", it added. The plot of land, called "Tsuen
Wan Town Lot No. 402", is near a rapid transit railway station.
Trading in shares of Vanke Property Overseas is expected to
resume on Friday.
Shares in Vanke Property Overseas, formerly known as Winsor
Properties, have been climbing steadily on expectations that its
business would be reorganised after its mainland parent company,
China Vanke, announced it would migrate its B share ticker
in Shenzhen to the Hong Kong board.
Shares in Vanke Property Overseas hit an intraday high of
HK$17.92 on Monday, gaining 12.7 percent in a single day
following China Vanke's announcement of the move.
Hong Kong exchange rules require issuers with two or more
listed companies to guarantee they will not compete directly
with each other.
Vanke Property Overseas said on Monday that it expected a
"significant decrease" in full-year net profit and net assets in
2012, largely due to discontinued operations after China Vanke
acquired a majority stake in the company in May.
Vanke Property Overseas shares have retreated since, closing
at HK$15.14 on Wednesday.
China Vanke's decision to move its B shares to Hong Kong
followed a similar decision by China International Marine
Containers (CIMC) to move its B shares to
Hong Kong in December.
The trend is part of a push by mainland securities
regulators to wind down the B-share market, which once served as
the primary channel for foreign investors to buy shares in
Chinese companies but was rendered obsolete when Beijing began
allowing Chinese firms to list overseas directly.
(Reporting by Twinnie Siu and Pete Sweeney; Editing by Anne
Marie Roantree and Chris Gallagher)