China New Town shares dive

Singapore

SHARES of China New Town Development Company (CNTD) dived in heavy trading in Singapore and Hong Kong on Wednesday following news that a substantial shareholder is held under custody by the local authorities in China.

The group had on Tuesday night disclosed that its executive director and vice-chairman Shi Jian has been required by the PRC Changzhou Procuratorate to remain under "custody in designated residence".

Despite assurances that the measures imposed on Mr Shi are not expected to have material adverse impact on the group, the group's shares primarily listed in Singapore and Hong Kong tanked a…