F&P takeover news hits suitor's shares
The Shanghai Stock Exchange has suspended share trading of Haier Qingdao, the parent company of the Chinese electronics empire interested in taking over listed Kiwi company Fisher & Paykel Appliances.
Bloomberg is reporting a halt to trading in the stock of the Qingdao-based parent company of Haier Electronics and the Haier New Zealand Investment Company, which owns 20 per cent of Fisher & Paykel Appliances.
F&P Appliances shares have surged 36 per cent to $1.03 since the company informed the NZX yesterday that Haier had signalled it was doing due diligence with a view to launching a full takeover at a "premium". No further details have been released.
Analysts predicted a formal takeover announcement might come today but that has not so far eventuated. However, it appears Haier Qingdao was suspended from trading because it did not inform the Shanghai market of its advances towards Fisher & Paykel Appliances.
A notification on the Shanghai Stock Exchange's website reads: "Trading of the following shares will be suspended for a whole day on September 11, 2012 for not having announced significant events."
Hong Kong-listed shares in Haier Electronics were still trading today, up 0.5 per cent this afternoon.
There were no announcements from Fisher & Paykel Appliances to the NZX today.
Haier - the world's largest whiteware brand by market share - first bought a 20 per cent stake in the company in 2009 for around 80c per share.
Its renewed interest comes after F&P's financials appeared to have turned a corner. That followed several disappointing years of earnings when the firm struggled to reduce high debt levels racked up after the global financial crisis.
F&P Appliances's latest trading update showed pre-tax earnings for the first four months of this financial year were about 33 per cent ahead of a year ago at $20 million.
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