HK Stock Market Move | Huaxin Building Materials Group (06655) rose over 5% in late trading; to consider a two-phase acquisition of Lafarge Philippines assets.

Huaxin Building Materials Group (06655) rose over 5% in late trading, up 5.28% as of press time, at HK$15.74, with a turnover of HK$27.1473 million. On the news front, recently, Huaxin Building Materials Group announced that the company plans to acquire, through a wholly-owned subsidiary in two phases, approximately 99% of the total issued shares of Philippines-based HPI held by Holderfin B.V., a subsidiary of Holcim. The transaction constitutes a discloseable and connected transaction. In the first phase, through the acquisition of equity interests in three holding companies, the company will indirectly obtain a 67.623% stake in HPI, with a corresponding consideration of no more than US$527 million; in the second phase, through an option arrangement, the company will acquire the remaining approximately 31.377% stake, with a consideration floor of US$280 million and a cap of US$392 million. Prior to the first closing, a mandatory tender offer must be made to HPI's public shareholders, with a corresponding consideration of no more than US$7.8 million.