The Zhitong Finance App learned that Stress Holdings (02663) continued to be strong today. As of press release, it rose 9.94% to HK$0.94, with a turnover of about HK$8617,200. The stock dropped to HK$0.77 in early trading, or nearly 10%. After that, it fluctuated and rebounded, with an intraday amplitude of over 20%. Since the stock launched in mid-October, the biggest increase in the range was over 160%.
According to the news, Stress Holdings recently announced that it has contracted Daxiang Energy Holdings to acquire approximately 397.19 million shares from Chairman Ye Baixiong and CEO Wei Rijian and Cheng Ying (seller), which is equivalent to about 71.32% of the total issued share capital, with a total cash cost of about HK$213.97 million. Together with the additional acquisition of 8.82 million shares, the offeror and those acting in concert held a total of 406.1 million shares, accounting for about 72.90%, triggering a mandatory unconditional cash offer under Rule 26.1 of the Takeovers Code. The offer price was HK$0.5387 per share, a discount of approximately 13.8% from the closing price of HK$0.625 on October 29.
The offender is owned by Hu Rong. The offeror intends to maintain the company's listing status on the Stock Exchange. According to reports, Hu Rong has more than 15 years of experience in the overall operation, business development and investment management of various enterprises engaged in the development and production of computers, communications and consumer electronics products, circuit boards, automobile chassis structural components, lithium batteries, and integrated energy storage products in the mainland.