Yangzijiang steps into market for another share buyback

Singapore five-dollar note Photo by Leslie Shaffer

Yangzijiang Shipbuilding stepped into the market with another buyback Thursday, scooping up an additional two million of its own shares, the Chinese shipbuilding said in a filing to SGX at midday Thursday.

The shares were bought back at S$0.945 to S$0.95 each for a total consideration, including other costs, of S$1.90 million, the filing said.

That brought the total shares bought back to 10 million since 15 August.

The shipbuilder’s shares were down 2.59 percent at S$0.94 at the midday break Thursday.

On 8 August, shares of the shipbuilder had tumbled as much as 28.5 percent intraday to as low as S$0.93 before retracing to S$1.04, down 20 percent; trading was then halted.

Trading was resumed 15 August the day after Yangzijiang said Executive Chairman and controlling shareholder Ren Yuanlin had taken a leave of absence while he assists in a confidential investigation by certain Chinese governmental authorities. The stock ended 15 August down at S$0.86, before Yangzijiang began announcing share buybacks.

“The businesses and operations of the group are unaffected by the investigation and Mr. Ren Yuanlin’s leave of absence and it is business as usual for the group’s businesses and operations,” Yangzijiang said 14 August.

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