Value Partners Stock Jumps as GF Securities Plans to Buy 20% Stake

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The purchase price represents more than a 35% premium to the last close of Value Partners, which has tumbled over 35% since late January. Photo: Bloomberg

(Bloomberg) — Value Partners Group Ltd. rose as much as 15% in Hong Kong trading as GF Securities Co. Ltd. is planning on buying a 20% stake in the asset manager as part of a push by the Chinese mainland brokerage to expand overseas.

The shares rose HK$0.33 to HK$2.55 as of 9.20 a.m. in Hong Kong.

The Guangzhou-based firm is nearing an agreement to buy a stake from Cheah Cheng Hye and V-Nee Yeh, the founders of Value Partners, for about HK$1.1 billion ($141 million), a person familiar with the matter said late Monday, asking not to be identified. The deal is subject to board approval later this week, the person said.