Shares of China Shipping Container Lines closed 74.77 per cent higher at 11.57 yuan on their debut in Shanghai yesterday with investors optimistic about a possible asset injection from the parent firm.
However, clouded by the sale by Cheung Kong (Holdings) of 250 million H shares of CSCL in Hong Kong - as Li Ka-shing's company sold part of its stake for HK$1.55 billion - the stock dropped 12.48 per cent in Hong Kong yesterday to HK$5.61.
In Shanghai, the A shares of CSCL opened at 10.62 yuan, 60.42 per cent higher than the initial public offering price of 6.62 yuan, then rose higher. The gain came as the benchmark Shanghai Composite Index fell 1.54 per cent to 5,095.543 points.
CSCL, which raised 15.52 billion yuan from the Shanghai market, said it would acquire eight ports on the mainland with 30 berths, as well as container leasing and manufacturing businesses owned by its parent.
However, a research report from investment bank Cazenove said the company was likely to postpone the asset injection until the first half of next year because complicated restructuring had to take place before the injection could be attempted.
