Changes in Hong Kong stocks | Chenming Paper (01812) rose more than 4% and plans to divest the financial leasing business by 3.3 billion yuan

The Zhitong Finance App learned that Chenming Paper (01812) rose by more than 4%. As of press release, it had risen 4.11% to HK$0.76, with a turnover of HK$815,000.

According to the news, Chenming Paper announced the divestment of the financial leasing business to invest in the sale of Shandong Chenming Financial Leasing, Qingdao Chenming Paper Products Sales, and Shanghai Chenming Financial Leasing's entire equity and loan to Shouguang Shengjia, a wholly owned state-owned enterprise, at a total cost of 3.336 billion yuan. The estimated sales proceeds are approximately 389.395 million yuan. The net proceeds are intended to be used to repay group debts.

The announcement stated that after the sale is completed, the Group's daily business operations will remain essentially unchanged before and after completion. The Group will continue to focus on the main business of producing and selling paper products. Currently, four of the Group's five production bases have resumed production. The directors expect that after the sale is completed, there will be no major changes in the Group's business and business scale, and that the sale will not have a significant impact on the Group's business and operations.