China's GOME Retail hits over 5-week low on share consolidation plan

GOME Retail Holdings

21/04/2022 03:52

** Shares of China's home appliances retailer GOME Retail
Holdings Ltd  0493.HK  drop as much as 16.3% to HK$0.385, their
lowest since March 15
    ** Stock is the biggest percentage decliner in the Hang Seng
Composite Index  .HSCI  and the second-biggest percentage
decliner on the Hong Kong bourse
    ** Co proposes a consolidation of the company shares on the
basis of every 10 shares into one consolidated share in a bid to
reduce the overall transaction and handling costs of dealings in
the company shares (https://bit.ly/3LabdJW)
    ** Says with a higher trading price of the consolidated
shares and reduction in transaction and handling costs, the move
will make investing in the consolidated shares more attractive
to a broader range of institutional and professional investors 
    ** The Hang Seng Commerce & Industry Index  .HSNC  drops
1.5% and the Hang Seng consumer goods and services index
 .HSCGSI  falls 0.8%
    ** The Hang Seng Composite Index  .HSCI  slips 0.7% and the
benchmark Hang Seng Index  .HSI  eases 0.6%


 (Reporting by Donny Kwok)
 ((donny.kwok@thomsonreuters.com))