Glonghui, December 18|Guomao Holdings (08428.HK) announced that on December 11, 2023, the company's board of directors has received a letter from Zuo Ping, the company's shareholder since December 11, 2023, stating that during the period from November 2, 2023 to November 28, 2023, there have been changes in the company's shares as detailed below. Other than being the controlling shareholder, Zuo Ping is an independent third party not related to any company director or company.
Therefore, the acquisition of shares on November 20, 2023 increased Zuo Ping's voting rights in the company to 30% or more. According to Rule 26.1 of the Company Takeovers and Mergers Code, Zuo Ping is required to make a mandatory, unconditional and comprehensive offer for all securities relating to the company.
Following receipt of the letter on December 11, 2023, the directors noted that Zuo Ping may have triggered the obligation to make an offer under the Takeovers Code. In the letter, Zuo Ping also stated that his violation of Rule 26.1 of the Takeovers Code was due to careless mistakes and that he had no intention of making an offer due to lack of financial resources.
Executives (as defined in the Takeovers Code) are currently considering appropriate actions, which may include disciplinary action against Zuo Ping in this regard.
Furthermore, the company has applied to the Stock Exchange of Hong Kong Limited to resume stock trading starting at 1:00 p.m. on December 18, 2023.