China International Marine Containers Group Co. (200039), the world’s biggest container maker, gained the most in four months after announcing plans to move trading of its shares to Hong Kong from China’s Shenzhen stock exchange.
The stock rose 3.3 percent, the biggest advance since April 18, to close at HK$9.67. The benchmark Shenzhen B Share Index gained 1.4 percent.
China International Marine intends to list on the Hong Kong Stock Exchange by converting 1.43 billion B shares to H shares, it said in a statement today. The move means the shares will be subject to rules of the Hong Kong exchange, and be listed in a market where average daily trading volumes in the past 30 days were 2000 times larger than that for B shares, according to data compiled by Bloomberg.
“There’s never been a case of B shares being converted to H shares, so this is innovative,” Xu Minle, a Shanghai-based analyst at Bank of China Ltd., said by telephone. “B shares are lightly traded and less active compared with H shares, so this is good for their name recognition globally.”
The proposal is subject to regulatory approvals. Shareholders may also opt to receive cash by requesting a third party purchase the B shares, China International said.
The move “is in the best interests of the group” and doesn’t undermine its goal to strengthen its position as the leading port investor and operator in China, Fu Yuning, chairman of shareholder China Merchants Holdings (International) Co., said in a statement to the Hong Kong stock exchange.
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