China Lesso secures up to US$200 million loan tied to controlling shareholder stake

China Lesso Group Holdings ( (HK:2128) ) has provided an announcement.

China Lesso Group Holdings has entered into a new facility agreement under which its wholly owned unit China Lesso Finance secured term loan and revolving credit facilities totaling the equivalent of US$165 million, with an option to increase the size to as much as US$200 million. The facilities, provided by a syndicate of five lenders and two mandated lead arrangers, carry an original 364-day maturity from first utilisation, with potential extensions to three and then four years subject to agreed conditions.

A key covenant in the facility requires that chairman and controlling shareholder Wong Luen Hei and his family maintain at least 51% of the company’s beneficial shareholding and voting rights, or lenders may cancel commitments and demand immediate repayment. The company confirmed that this condition is currently satisfied, with the Wong family holding about 69.13% of issued shares, underscoring lender reliance on the existing control structure and the importance of ownership stability for its financing arrangements.

The most recent analyst rating on (HK:2128) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on China Lesso Group Holdings stock, see the HK:2128 Stock Forecast page.

More about China Lesso Group Holdings

China Lesso Group Holdings Limited is a Hong Kong-listed company incorporated in the Cayman Islands, operating through a group structure that includes wholly owned financing subsidiaries such as China Lesso Finance Limited. The group is controlled by chairman and executive director Wong Luen Hei and his family, who collectively hold a majority stake in the company’s issued share capital.

Average Trading Volume: 11,974,518

Technical Sentiment Signal: Hold

Current Market Cap: HK$16.07B

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