Fantasia Holdings Strikes Connected Restructuring Deal Over Colour Life Stake

Fantasia Holdings Group Co. Ltd. ( (HK:1777) ) has shared an update.

Fantasia Holdings has entered into a restructuring agreement with TFISF and a connected purchaser to resolve a dispute over shares in its subsidiary Colour Life, involving the sale of approximately 21.97% of Colour Life at HK$0.087 per share, the enforcement of a purported security over an additional 10% stake, and the retention by Fantasia of about 9.98% of Colour Life shares free from security or other claims. The deal will also see indebtedness to TFISF reduced through application of sale proceeds and agreed share value, and the novation of remaining debt to subsidiary Sky Ease on a non-recourse basis to the wider group; because the purchaser is controlled by major shareholder and non-executive director Ms. Zeng, the transaction is classified as both a major and connected transaction under Hong Kong listing rules and requires reporting, announcement and independent shareholder approval, potentially reshaping Fantasia’s capital structure and risk exposure around Colour Life.

The most recent analyst rating on (HK:1777) stock is a Hold with a HK$0.08 price target. To see the full list of analyst forecasts on Fantasia Holdings Group Co. Ltd. stock, see the HK:1777 Stock Forecast page.

More about Fantasia Holdings Group Co. Ltd.

Fantasia Holdings Group Co., Limited is a Cayman Islands-incorporated company listed in Hong Kong that operates through subsidiaries including Colour Life, with interests in property-related services and investments in Hong Kong and mainland China. Its shareholder base features significant control by founder-related entities, with Ms. Zeng holding majority interests through various holding vehicles and serving as a non-executive director.

Average Trading Volume: 2,288,752

Technical Sentiment Signal: Strong Sell

Current Market Cap: HK$444.5M

For an in-depth examination of 1777 stock, go to TipRanks’ Overview page.