HK Stock Market Move | CHINA HANKING (03788) surged over 5% in the final trading session, acquiring the remaining stake in Cygnet Gold. Hanking Gold is preparing to list in Hong Kong.

China Hanking (03788) surged more than 5% at the close, rising 5% to HK$4.2 with a turnover of HK$10.98 million at the time of publication. On the news front, China Hanking recently announced that its subsidiary, Watkins Gold, has acquired Cygnet Gold for a total of 6.63% of the share capital. Cygnet Gold owns and operates a gold mine project with approximately 2.06 million ounces of gold resources, with a total consideration of AUD 16.6 million. After the completion of the acquisition, Cygnet Gold will become a wholly-owned subsidiary of Hanking Gold. Meanwhile, Executive Director Dr. Qiu Yumin and minority shareholders of Cygnet Gold plan to subscribe for 8.7 million and 12.2 million new shares of Hanking Gold respectively, at a price of HK$2.62 per share. After completion, the company's shareholding in Hanking Gold will be diluted from 91.19% to 90.44%. It is worth noting that China Hanking previously announced a pre-IPO fundraising by its non-wholly-owned subsidiary Hanking Gold, issuing a total of 436 million shares to six subscribers including the company at a price of HK$2.62 per share. The total subscription amount is HK$1.14 billion, intended to support the development of the Australian gold mine project and repay approximately AUD 86 million of internal loans. It is reported that in July this year, China Hanking announced plans to spin off its subsidiary Hanking Gold and list it independently on the main board of the Hong Kong Stock Exchange through an introduction listing.