TCL Comms shares suspended
 |
TCL and French giant Thomson will combine their TV and DVD businesses.
Story Tools
YOUR E-MAIL ALERTS
|
Follow the news that matters to you. Create your own alert to be notified on topics you're interested in.
Or, visit Popular Alerts for suggestions.
|
|
SHANGHAI, China (Reuters) -- TCL Comms, a unit of TCL Corp, China's second-largest television and cellphone maker, says its shares will be suspended for at least five days from Friday.
The suspension will occur while regulators discuss the company's restructuring plan.
Yuan-denominated A shares in TCL Communications Equipment Co Ltd, controlled by TCL Corp, would not resume trade until the China Securities Regulatory Commission (CSRC) makes a decision to approve or deny the restructuring.
"The CSRC will start to discuss whether to give approval for the initial public offering of TCL Corp on December 30," TCL Comms said in a statement published in state newspapers.
"In line with regulations, our shares will be suspended from trade from Friday."
TCL Corp, which controls about a 10th of the world's top cellphone market by subscribers, said in September it planned to merge with TCL Comms and launch an IPO of the group as part of its drive to become a global tech brand.
TCL Comms would be delisted in the restructuring, while shareholders would win the right to swap shares in the debutante for existing shares valued at 21.15 yuan each, it had said.
TCL Comms' Shenzhen-listed A shares -- open to Chinese and selected overseas investors -- closed at 24.85 yuan on Thursday. They have risen 77 percent since the start of 2003 to outperform an 11-percent rise in the broader market.
TCL Corp's Hong Kong-listed unit TCL International Holdings signed a venture in early November with French consumer electronics maker Thomson SA to combine their television and DVD businesses.
The deal would create the world's biggest TV maker, cranking out 18 million TVs a year.
Copyright 2003
Reuters. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
