China Development Bank to Take 40% Stake in Developer New Town
The unit of the world’s largest policy lender signed a non- binding agreement to subscribe for 3 billion shares in the company at 24.6 Hong Kong cents each, China New Town Development said in a statement to the Hong Kong stock exchange today. The stake of controlling shareholder SRE Investment Holding Ltd. will fall to 20 percent from 33 percent, according to the statement.
China Development Bank International could make the company more competitive by combining the bank’s financial background and network with China New Town’s experience and management team, the statement said.
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