Water-Purifier Maker Chaoyue Surges as Much as 60% in Hong Kong Trading
Chaoyue Group Ltd., an unprofitable Hong Kong-listed maker of water purifiers and dispensers, surged 37 percent on the city’s stock exchange, the stock’s biggest increase in 21 months.
Chaoyue gained 19 Hong Kong cents to close at 71 Hong Kong cents, the most since Sept. 19, 2008, on trading volume that was 30 times the average over the past year. Today’s gain trimmed Chaoyue’s decline this year to 20 percent, compared with a 5.2 percent drop in the benchmark Hang Seng Index.
The company, which last year acquired platinum and gold mining businesses, said it wasn’t aware of any reasons for the share-price increase. “There are no negotiations or agreements relating to intended acquisitions or realizations which are discloseable” under the rules of the city’s stock exchange, Chaoyue said in a statement today.
The maker of drinking-water machines said April 30 that it expected to report “a very significant loss” for its fiscal year, which ended in March. Chaoyue reported a loss of HK$3.7 billion ($475 million) in the six months ended September.
Chaoyue also makes water and air purifiers for food- processing, car factories and hospitals. The company discontinued its garment business in August last year.
Bloomberg moderates all comments. Comments that are abusive or off-topic will not be posted to the site. Excessively long comments may be moderated as well. Bloomberg cannot facilitate requests to remove comments or explain individual moderation decisions.