HK Stock Market Move | DONGWU CEMENT(00695) fell more than 10% in the afternoon with the controlling shareholder selling 37% of shares. Hong Kong China Navigation Company became the largest single shareholder.

DONGWU CEMENT (00695) plunged more than 10% in the afternoon, dropping by 8.23% to HK$5.35 as of the time of reporting, with a turnover of HK$137.32 million. On the news front, DONGWU CEMENT announced that on September 12, its controlling shareholder Goldview (wholly owned by non-executive director Jiang Xueming) sold nearly 155 million shares to Hongkong Aviation Hong Kong, a wholly-owned subsidiary of Suzhou State-owned Assets Supervision and Administration Commission, for approximately RMB 286 million; and sold 49.68 million shares to Fenyuan Capital for RMB 91.8 million. After the transactions, Hongkong Aviation Hong Kong will become the largest single shareholder of the company with a 28% stake; Fenyuan Capital will hold 9% of the company's shares; Goldview's stake in the company will be reduced from 53.89% to 16.89% and will no longer be the controlling shareholder. In addition, DONGWU CEMENT plans to sell all the shares of Dongfang Chenzheng Rare Earth for HK$10 million. Due to the challenges facing the rare earth business, the group believes that the sale will allow it to focus its financial resources on the group's cement business and improve cash flow liquidity and financial flexibility, thereby streamlining operations and enhancing overall financial performance.