Award-winning Financial Journalist

Ashish Saxena

Equity Bottom-Up

<a href="https://www.smartkarma.com/entities/19779" target="_blank" data-smartkarma-citation="entities:19779:1">First Sponsor Group Ltd (FSG SP)</a> is selling a 70% stake in Star of East River mixed-use project in Dongguan, Guangdong Province to <a href="https://www.smartkarma.com/entities/18368" target="_blank" data-smartkarma-citation="entities:18368:1">China Vanke Co Ltd (H) (2202 HK)</a> and Regent Land Investments Holdings Ltd, wholly-owned by First Sponsor's Guangdong operations' CEO Mr Shu Zhen.First Sponsor said SGX-ST has clarified that the transaction is in ordinary course of the business which is why it need not be put for shareholders' approval despite it being worth more than 45% of its market capitalisation.But the announcement didn't mention if any clarification or waiver has also been obtained regarding the stake sale to Mr Shu Zhen which seems to be an interested person transaction requiring shareholders' approval under Rule 906 of the Listing Manual.

First Sponsor Group Ltd (FSG SP) is selling a 70% stake in Star of East River mixed-use project in Dongguan, Guangdong Province to China Vanke Co Ltd (H) (2202 HK) and Regent Land Investments Holdings Ltd, wholly-owned by First Sponsor's Guangdong operations' CEO Mr Shu Zhen.First Sponsor said SGX-ST has clarified that the transaction is in ordinary course of the business which is why it need not be put for shareholders' approval despite it being worth more than 45% of its market capitalisation.But the announcement didn't mention if any clarification or waiver has also been obtained regarding the stake sale to Mr Shu Zhen which seems to be an interested person transaction requiring shareholders' approval under Rule 906 of the Listing Manual.

Is Sale Of A 15% Stake in Star of East River Project To Mr Shu Zhen An IPT Requiring Approval?