GIC more than doubles stake in Franshion Properties

Franshion Properties has placed 1.6 billion shares at HK$2.73 per share as part of efforts to supplement the funding of its expansion and growth plan and broaden its shareholder base.

Singapore's sovereign wealth fund, GIC, which is one of the existing shareholders, is taking part in the placement. Through the purchase of more than 425.9 million shares, it will more than double its stake in the company, from 3.0 per cent to 6.54 per cent, making it the third largest shareholder in the company.

Meanwhile, New China Life Insurance Company will buy 1.014 billion shares, which will make it Franshion's second-largest shareholder with a 9.5 percent stake.

Sinochem Hong Kong's stake in the company will drop from 63.5 per cent to 53.98 per cent following the placement.

The placing price of HK$2.73 represents a discount of about 9.90 per cent to the closing price of HK$3.03 per share on Monday, said the company in a Hong Kong exchange filing on Tuesday.