ZTE’s 368.21 mln shares to become tradable from Dec 29
ZTE Corp, a major Chinese telecom equipment and cell phone producer, announced that the lockup period of its 368.21 million shares would end on Dec. 29 and become tradable on the Shenzhen Stock Exchange since then.
The 368.21 million shares, or 27.41% of ZTE’s capital stock, worth around RMB 9.85 billion calculated by ZTE’s average closing price in the previous 60 trading days. Those shares were held by Shenzhen Zhongxingxin Telecom Equipment Ltd, the largest shareholder of ZTE.
After the 368.21 million shares come out of lockup, ZTE will see its non-tradable shares account for only 0.13% of the total capital stock.
ZTE expects to replenish its capital base through the deal.
5% of ZTE’s non-tradable shares turned tradable at the end of 2007 and 11.55% became tradable at the end of 2006.
In December 2005, the company offered 2.5 bonus shares for every 10 tradable shares held in a shareholding restructuring.
Tags: Share, ZTE