Often Partisan

BIH Attract New Investor

Filings made to the stock exchange this morning show that Luo Chao Kui has bought a 8.51% stake in Birmingham International Holdings.

The filing confirms that 438 million shares were bought on the market on Friday at an average price of HK$0.102, which values the stake bought by Luo at HK$44.676million – about £3.5million. The purchase makes Luo the third largest shareholder in BIH  and gives him a relative stake of 8.81% in BCFC.

Nothing whatsoever is known about Luo; a search on Google has proved fruitless as has initial enquiries in Hong Kong. Luo is a mainland Chinese surname, which tends to be concentrated in the Guangdong province of China, which borders Hong Kong. Whether this investment is a prelude to further investment from the People’s Republic remains to be seen, however.

The BIH share price has now settled back to the price it was prior to the shares suspended and volumes traded have slowed after a volatile first two days back on the market.

Tags: , ,

35 Responses to “BIH Attract New Investor”

  • StevieW says:

    Shares closed at 0.149 so the guy who bought at .102 has already made money. There was a big spike on the trading volume graph for Friday so possibly that was our new investor.

    Volume of shares today was 497, 310,000

    with a turn over of 73,604,000

    Not bad for a days work. If we win tonight then maybe it will climb higher.

    • AndyBlue says:

      I wonder if this is the first step in the reported potential new investor aquiring 24% in BCFC? Not sure to be honest. I would have thought any investor would have taken advantage of the low share price at the end of last week to buy a bigger stake than just a third of the reported 24%.

      PP statement stated that initial discussions were taking place about the sale of 24% of BCFC suggesting to me that this would be in some way a one off deal and not directly an investment in BIHL. I could be just reading things wrong in truth.

      What seemed unclear to me was why the investor was linked with buying a 24% of BCFC as opposed to 24% in BIHL? I am mistaken in thinking that there are no shares in BCFC anymore only BIHL? That being the case I wonder how such an investment would be structured?

      Any thoughts?

      Thanks for the information Dan.

      • almajir says:

        I doubt very much it’s the prelude to the 24% of BCFC being bought out as these shares are in BIH.

      • blackandblue says:

        It would be BIHL selling 24% of its own stake in BCFC. Hence this particular share purchase by Luo, bought on the open stack market, to give him an 8.1% stake in BIHL has nothing to do with the ‘proposed’ 24% stake in BCFC.

        Main reasons could include:
        1) Building a stake in BIHL with a view to taking it over.
        2) He is part of a group of investors trying to gain overall control of BIHL
        3) One of CY’s chums buying stake to give CY more control
        4) An individual just thought the share price was good value as an investment with prospects of it being much higher price in the future.
        Above by no means all possible reasons – there are many alternatives.

        It is very interesting if nothing else. Lou’s name has not yet been connected with any proposals for BIHL/BCFC as far as I am aware. However, everything with(in) BIHL happens for a reason and that reason is usually for the benefit of a certain CY.

        • almajir says:

          It could be he just saw the price as being low and it’s a chance to make a quick buck – the shares have already risen enough for him to make a £1.6mil profit.

          • The Truth will hurt says:

            Assuming there’s enough liquidity for him to be able to sell without driving the price back down to where it was!!

  • Chris W says:

    Any investment has to be good, but will BCFC or more importantly Lee Clark see any of it? Though any cash now is too late to make a diffence, but it can secure some of the starlets we have now or those without a long term contract, Packwood and martin fall in that category.
    KRO+DNM

  • ESONEULB says:

    No one would just throw money away.. invested for a reason… what does he know… ?

    1. the result of the court case?

    2. Future investment

    3. Sale of someone else shares

    4. Takeover

    This list could be endless…

    KRO…… here’s hoping for a forward step for #BCFC for once, that does not involve 2 steps backwards….

  • bluenose08 says:

    Dan do you know if peter pannu has any shares in bihl.

  • jimbo says:

    I was looking late last night/early morning. The price of the shares had increased by around 34%

  • Andy says:

    Don’t forget everyone, people don’t always buy shares because they want to own the company. It can just be a way of making money through stock trading. It could just be that this guys manages a portfolio of wealth, has seen some cheap shares in BIH and thought that even a very small percentage increase in value would equal a profit. And certainly don’t think that just because someone buys shares in a company that they want to invest additional money into the business. I personally dont think this is a major development just yet.

    • almajir says:

      Absolutely true. He could well sell tomorrow – his shares are already worth £1.6mil more.

      • blackandblue says:

        Might find it difficult to sell at, the now, inflated price

        • almajir says:

          why is the price “inflated”?

          • blackandblue says:

            Because it values BIHL @ £45m. If that’s not inflated, I don’t know what is! Valuing BIHL @ £45m plus its debts on top of that, is vastly inflated. There is no way BCFC (its only asset) is worth £45m+

          • almajir says:

            In your opinion mate… in your opinion

          • blackandblue says:

            Yes in my opinion of course. But also it would seem that BIHL independent advisers must be of the same opinion. Either that or they got the share placing and convertible bonds pricing more wrong than the Royal Mail advisors if today’s share price is considered to be ‘fair’ value.

            The share placing was offered at HK$0.05, with the Convertible Bonds offered to U-Continent Holdings Limited (directly and wholly owned by Mr. Yang Yuezhou) and the Convertible Bonds & Novation offered to Carson Yeung, both being offered at the convertible price of HK$0.03

            Given today’s closing share price of HK$0.149, it would seem either that; (i) the offerings to Yang and Yeung were vastly under-priced and they will make a big profit killing or, (ii) that the current price is over valued. All about opinions which might be applicable .

      • BhamCityJulian says:

        The share is HK dollars/cents not £p. Remember to convert then the sums look a lot less

  • neil says:

    Just a thought could be carson buying these shares to increase his stake.

  • Neil says:

    Only said just a thought .

  • sappy sad says:

    i have my rose tinted glasses on again …i see a club that once
    attracted 60,000 crowds…i see a club that has only small debt
    ..i see that clubs are tryibg to bring safe standing to grounds
    again which could increase capacity of st andrews by a probable
    10,000 more to 40,000 …i feel that if as suggested blues are to be
    the springboard for the company .by having money spent on
    players in a drive to get them back in the premiureship and
    back getting big money again ..so that BC can give out more
    rose tinted glasses …kro

  • mark says:

    Again looks good news greater when carson walks free…….

  • rhees says:

    Excited but waiting to be knocked down again

  • soulmeister says:

    WALK FREE HA HA HA – DREAM ON !!!!!!!!

  • brainchildblue says:

    Great job pannu. .you are a star.you have saved the group and b cc and we are forever greatful. Carson is rich now with 200M novated and converted to shares at 0.03 per share. Carson made 8th pounds in 3 days……oh my god…and people says why pannu s pay is high. A genius

  • brainchildbluestar says:

    Great job pannu. .you are a star.you have saved the group and b cc and we are forever greatful. Carson is rich now with 200M novated and converted to shares at 0.03 per share. Carson made 8th pounds in 3 days……oh my god…and people says why pannu s pay is high. A genius


Leave a Reply

Personalised Gifts for a Bluenose
Haircuts and League Cups
Open Tax Services
Corporate Solutions UK
PJ Planning
Rodal Heating

Archives