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China Galaxy says senior executive cooperating with authorities
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CHINA Galaxy Securities Co Ltd, a Hong Kong-listed brokerage majority owned by China’s sovereign wealth fund, said its chief officer of the fixed income business is cooperating with the country’s judicial authority under a probe.
Fixed-income chief Dai Xu and two other employees are involved in the investigation due to “personal reasons,” the state-owned brokerage said in a filing to the Hong Kong stock exchange late yesterday, without providing further details.
President of the company Gu Weiguo will temporarily undertake Dai’s role and duties, it said. The brokerage added that its business operations remain normal and will disclose further relevant information in a timely manner.
Prior to the occupation, Dai, 51, was managing director of bond financing and vice-general manager of the investment bank department of China Galaxy.
Shares of China Galaxy slumped 5.3 percent to HK$5.55 (US$72 cents) by the noon break.
The brokerages said last month it is planning to list in Shanghai stock exchange and raise about 7.6 billion yuan (US$1.2 billion). It raised about US$1.1 billion in a Hong Kong listing in May 2013.
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