Contel Chairman Pledges Controlling Stake as Security for Personal Loan

Contel Technology Company Limited ( (HK:1912) ) just unveiled an update.

Contel Technology Company Limited disclosed that its chairman, chief executive officer and executive director, Lam Keung, has pledged all the issued shares of P.Grand (BVI) Ltd., the company’s controlling shareholder, as security for a personal loan facility. P.Grand holds approximately 50.29% of Contel’s issued ordinary shares, meaning the pledge effectively encumbers a majority stake in the company.

The charge is in favour of a lender that also provides loan facilities to Contel, though the company emphasised that, apart from these lending relationships, the chargee is independent of the group and its connected persons. The board urged shareholders and potential investors to exercise caution when dealing in Contel’s shares, underscoring the potential implications of the controlling shareholder’s share charge for ownership stability and perceived financial risk.

The most recent analyst rating on (HK:1912) stock is a Hold with a HK$0.60 price target. To see the full list of analyst forecasts on Contel Technology Company Limited stock, see the HK:1912 Stock Forecast page.

More about Contel Technology Company Limited

Contel Technology Company Limited is a Hong Kong-listed company incorporated in the Cayman Islands and traded on the Main Board of the Stock Exchange of Hong Kong. The company’s controlling shareholder is P.Grand (BVI) Ltd., a British Virgin Islands-registered entity wholly owned by chairman and chief executive officer Lam Keung, which holds just over half of Contel’s issued share capital.

Average Trading Volume: 65,094

Technical Sentiment Signal: Sell

Current Market Cap: HK$72.48M

See more data about 1912 stock on TipRanks’ Stock Analysis page.