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China Ecotourism Group Limited ( (HK:1371) ) has provided an announcement.
China Ecotourism Group Limited has unveiled a comprehensive restructuring plan after being hit with a winding-up petition over unpaid debts of about HK$78.5 million. The board says the package is intended to alleviate severe financial difficulties and protect the interests of creditors and other stakeholders, in part by cleaning up the balance sheet and stabilising the capital structure.
The proposed measures include a capital reorganisation, cancellation of the share premium balance, a creditors scheme and a change in board lot size. Under the creditors scheme, eligible creditors may opt to receive new shares or cash proceeds from the disposal of a capped number of scheme shares on a pari passu basis, a move that would convert a substantial portion of debt into equity and dilute existing shareholders while potentially averting liquidation.
The most recent analyst rating on (HK:1371) stock is a Sell with a HK$0.17 price target. To see the full list of analyst forecasts on China Ecotourism Group Limited stock, see the HK:1371 Stock Forecast page.
More about China Ecotourism Group Limited
China Ecotourism Group Limited, incorporated in Bermuda and listed in Hong Kong, operates in the ecotourism and related services sector. The company targets tourism and leisure markets in China and is currently burdened by significant accumulated losses and heavy indebtedness, which have triggered legal and financial restructuring pressures from creditors.
Average Trading Volume: 241,490
Technical Sentiment Signal: Sell
Current Market Cap: HK$27.8M
For an in-depth examination of 1371 stock, go to TipRanks’ Overview page.