Sunac China Holdings Ltd. raised its stake in Jinke Property Group Co. Ltd. to approximately 23.15%, representing 1,236,891,689 ordinary shares worth 5.72 billion Chinese yuan, as of Jan. 24.
The company increased its ownership of ordinary shares in the listed Chinese real estate company by acquiring 329,862,211 shares on the open market between Nov. 11, 2016, and Jan. 24. for 1.72 billion yuan. The acquired shares represented an approximately 6.17% stake in Jinke Property, which will remain as an associate of the company post-acquisition.
Sunac China believes the transaction will provide the company with good investment returns, given Jinke Property's development exposure to main core second-tier cities in China with a high-quality land bank.
Sunac International Investment Holdings Ltd., the company's controlling shareholder, gave its written approval for the share acquisition, according to Sunac China.
As of Jan. 24, US$1 was equivalent to 6.86 Chinese yuan.