Cheung Kong, Hutchison to invest 186 mln hkd in Tem Fat Hing Fung group

HONG KONG (AFX-ASIA) - Tem Fat Hing Fung (Holdings) Ltd said Cheung Kong (Holdings) Ltd and Hutchison Whampoa Ltd have agreed to invest around 186 mln hkd in the group. Under the agreement, Cheung Kong will buy 62.63 mln hkd worth of shares in Tem Fat Hing Fung, and it will also purchase 15.63 mln hkd worth of convertible bonds in RNA Holdings. At present, Tem Fat Hing Fung owns a 37.84pct stake in RNA Holdings. In addition, Hutchison Whampoa will subscribe to 32.13 mln hkd worth of convertible bonds in RNA Holdings, and will purchase 37.36 mln hkd worth of shares in Tem Fat Hing Fung. Can Do Holdings, which is 33.71 pct owned by Tem Fat Hing Fung, will issue 416 mln worth of convertible notes to Total Vision Ltd, Asvick Investment Ltd, Hilker Co Ltd, and Daslton Blue Ltd. All the subscribers are wholly-owned subsidiaries of either Cheung Kong or Hutchison, the statement said. As consideration, Tem Fat Hing Fung and RNA Holdings will receive some convertible notes in Can Do Holdings from Cheung Kong and Hutchison, it said. On full conversion of the bonds and notes, Cheung Kong and Hutchison will jointly own a 17.39 pct stake in Tem Fat Hing Fung. They will also hold a 25.98 pct stake in Can Do Holdings, and a 20.35 pct stake in RNA Holdings.

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