Kingston Financial Group (1031.HK)

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Hong Kong's Richest Woman Loses Half Her Wealth on Stock Plunge

By Sofia Horta E Costa
March 19, 2018, 1:58 PM GMT+8 Updated on March 19, 2018, 4:20 PM GMT+8

Pollyanna Chu has lost her title as Hong Kong’s richest woman after her listed company turned into Asia’s worst performer this year.

Worth almost $12 billion as recently as January, she’s seen more than half of her wealth wiped out as the stock crashed. Kingston Financial Group Ltd., which operates businesses including Macau casinos and margin lending, has tumbled 50 percent since Hong Kong’s securities regulator in January warned investors that the company’s shares were overly concentrated among a small number of stockholders.

Kingston Financial plunged 8.7 percent on Monday after FTSE Russell, one of the world’s most-followed index providers, removed the stock from its benchmarks. For its financing, the firm relies largely on unsecured loans provided cheaply by Chu and her family, according to January analysis from activist investor David Webb. The stock is the worst performer on MSCI Inc.’s Asian gauge this year, after surging 88 percent in the last quarter of 2017.

More details in
Specuvestor: Asset - Business - Structure.
This Asian Billionaire Has Lost 74 Percent of Her Fortune

By Blake Schmidt
July 26, 2018, 2:37 AM GMT+8 Updated on July 26, 2018, 1:29 PM GMT+8

The “queen of shell companies” had already been dethroned as Hong Kong’s richest woman.

Now Pollyanna Chu Yuet Wah, whose Kingston Financial Group Ltd. operates Macau casinos and margin-lending businesses, has lost 74 percent of her fortune, the biggest destruction of individual wealth this year in Asia, according to the Bloomberg Billionaires Index, a ranking of the world’s 500 richest people. After starting the year at No. 183 with $8.4 billion, she’s currently worth $2.2 billion and has dropped off the list.

The decline of her fortune deepened after Kingston reported fiscal 2018 profit of HK$1.4 billion ($178.4 million), a 9 percent drop from a year earlier, as soured margin loans increased. The firm gets most of its financing from unsecured loans provided cheaply by Chu and her family, according to an analysis by activist investor David Webb.

Kingston plunged 17 percent on Jan. 30 after the Securities and Futures Commission said that 20 shareholders controlled more than 91 percent of the stock. It slid further in March after FTSE Russell purged Kingston from its benchmarks.

More details in
Specuvestor: Asset - Business - Structure.
As stated in the SFC Announcement, as at 8 January 2018, the shareholding structure of the Company was as follows:

Mrs. Chu Yuet Wah             held  10,157,205,895  shares ( 74.606% )

A group of 19 shareholders   held    2,320,899,495  shares (  17.047%)

Other shareholders held                1,136,375,276 shares  (   8.347 %)

Total                                       13,614,480,666  share  (       100%)

At today's  date of 26 July 2018,  the shares are standing at $2.00 which is $7  loss per share from January's high  level.

If those 19 shareholders are still there, the total  LOSS  on 2.32 Bil shares = HK$16 Billion.

Obviously they are not thinking like  valuebuddies.

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