Hua Hong HK shares tumble as Shanghai trading halted on acquisition plan

Investing.com-- Hong Kong-listed shares of Hua Hong Semiconductor (HK:1347) dropped on Monday after the chipmaker said trading of its Shanghai-listed stock had been suspended pending an announcement on a planned acquisition.

Hua Hong said in a filing that trading in its RMB shares on Shanghai’s STAR Market would be halted from Aug. 18 for up to 10 trading days as it prepares to disclose details of the proposed purchase of equity in Shanghai Huali Microelectronics Corp.

The transaction remains subject to board, shareholder, and regulatory approvals, and there is uncertainty whether it will be completed, the company said.

Shares in Hong Kong fell nearly 10% to HK$46.26 as of 02:16 GMT.