Huobi acquired Hong Kong stock exchange listed company
According to an official announcement issued by the Hong Kong Stock Exchange (HKEx) on August 29, Huobi cryptocurrency exchange has acquired Hong Kong Pantronics Holdings Limited.
Cointelegraph reported on August 28 that Pantronics, a Hong Kong stock exchange-listed electronics manufacturing company, had stopped trading on its main board on August 22, on the grounds that it was "not allowed to trade stocks after acquisition and merger under Section 26 of the Hong Kong Code."
At the time, Huobi had acquired a 73.73% stake in Pantronics. The official announcement of the Hong Kong Stock Exchange clarified that Huobi and the blockchain service provider platform Fission Capital acquired 71.67% of Pantronics' overall equity – 66.26% and 5.41% respectively.
Although the acquisition of Huobi has a clear reverse takeover standard or a reverse Initial Public Offering (IPO), Sandy Peng, a partner at Fission Capital, told Cointelegraph in a statement:
“This is a direct acquisition now. As stated in the announcement, Huobi intends to use this entity to start a new blockchain-related business."
"Fission has many years of experience in the Hong Kong capital market. We participated in the acquisition with Huobi and believe in its rich experience in this field. This newly created institution and regulatory international platform will become an ideal launching platform for Huobi’s any future international or institutional relevant business."
Peng believes that the official disclosure of the Hong Kong Stock Exchange "is to some extent from the announcement of Huobi." However, Huobi refused to comment on the disclosure at Cointelegraph's request.
Although Peng has called the characteristics of the transaction a reverse takeover, this route is beneficial to the private sector and can avoid a long and complicated listing process by directly acquiring a listed entity. After the transaction is completed, the buyer will automatically join the stock exchange.
Executive editor： Nino