Dongfeng Motor Group Co. (489), the Chinese carmaker in talks to buy a stake in PSA Peugeot Citroen (UG), had its shares halted from trading in Hong Kong as the French automaker prepares to vote on the deal.
When asked whether the suspension is related to Peugeot and whether an announcement will come out tomorrow, Dongfeng spokesman Zhou Mi said yes in a text message, without elaborating.
The board of Europe’s second-largest carmaker will meet today to vote on an agreement that Peugeot has said would raise 3 billion euros ($4.1 billion). Under the plan, the French government, Dongfeng and the Peugeot family would end up with roughly equal stakes.
Dongfeng shares were suspended from trading before the market open today. They fell 1.6 percent to HK$10.96 yesterday.
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