Tianqi Lithium Slumps After Blunder on Convertible Bond Pricing

Tianqi Lithium Corp. changed the pricing of its 2.6 billion yuan ($375 million) convertible bond after the previous one didn’t comply with Hong Kong stock exchange rules.

The Chinese miner had initially set the price at which the bonds could be converted into stock at HK$49.56 a share, a 10% premium over the price of a concurrent share placement. However, the conversion price was lower than the stock’s five-day average prior to the deal, which isn’t allowed by the bourse.