HK Stock Market Move | SAMSONITE (01910) falls by more than 5% again, the company plans to dual-list in the United States. The market is concerned about the issuing price discount and share dilution.

SAMSONITE (01910) fell more than 5% again, as of the time of publication, it fell 5.4% to HKD 16.63, with a turnover of HKD 1.15 billion. In terms of news, SAMSONITE recently announced plans to proceed with a dual listing in the US in the form of American Depositary Shares (ADS). Guotai Haitong pointed out that the new shares will be discounted by not more than 15% from the last closing price, and the discount from the benchmark price shall not exceed 20% or more. After deducting the cancelled inventory shares, the estimated actual diluted impact on the newly added share capital is approximately 4.0%. UBS released a research report stating that based on feedback from investors, SAMSONITE's stock price has been weak since mid-February announcement of the progress of the dual listing in the US, possibly due to concerns about the high 15% discount on the issue price and dilution of shares. They believe that these concerns have overshadowed the potential for the company to be revalued in line with global peers after listing in the US.