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Singapore-listed logistics and warehousing company CWT jumped as much as 10 per cent on Monday following an S$1.39bn ($994m) offer from HNA Holding Group in the latest in a string of deals for the acquisitive Chinese conglomerate.
Shares in the logistics company were up 9.7 per cent at $2.27 a share following the offer made public on Sunday through a filing to the Hong Kong stock exchange.
Hong Kong-listed HNA Holding Group said it would offer S$2.33 a share for CWT’s 600.3m shares, a premium of 12.5 per cent on the company’s closing price of S$2.07 on Thursday.
With this latest deal, China’s HNA group, which started as a domestic airline, has now stuck more than $40bn in deals in less than two years.
HNA said CWT’s logistics services business has a strong market position and the deal would allow it to “be better positioned to take advantage of China’s ‘Belt and Road Initiative’”. The initiative, also known as One Belt One Road, envisages investing $900bn in port, road and rail projects overseas.