Haitong Securities offers $436.7 million to take its Hong Kong unit private

Haitong International Securities said on Thursday its parent and Shanghai-based Haitong Securities has made HK$3.42 billion ($436.66 million) offer to take the Hong Kong-listed unit private and take full control of the firm.

Reuters had previously reported that Haitong Securities was planning to buy the remainder of the unit in a bid to stem the offshore investment banking arm’s losses.

Haitong already owns a 73.6 per cent stake, which had a market value of HK$5.99 billion as of Wednesday.

Trading in the shares of Haitong International was halted from Sept. 27 pending an announcement under the takeover code.

The firm has applied to the stock exchange for a resumption of trading in its shares and bonds from Oct. 9.

($1 = 7.8322 Hong Kong dollars)