Date
21 January 2017
AID Partners' chief executive Kelvin Wu (right) said the ATV acquisition was proposed by his personal company, which is not related to the listed firm.  Photo: HKEJ
AID Partners' chief executive Kelvin Wu (right) said the ATV acquisition was proposed by his personal company, which is not related to the listed firm. Photo: HKEJ

SFC said to launch insider trading probe into AID Partners

The Securities and Futures Commission is said to be looking into a possible case of insider trading involving AID Partners Capital Holdings Ltd. (08088.HK) amid market speculation that the private equity firm had bought majority shares in cash-strapped Asia Television Ltd., the Hong Kong Economic Journal reported Friday.

AID Partners’ share price soared 25 percent on April 1 amid rumors that it had agreed to be the white knight for ATV, just before the government decided not to renew the television broadcaster’s free-to-air license which expires in November.

The company said in a regulatory filing on the same day that it did not know the reason for the stock’s surge, although it explained the following day that AID Group, a private company affiliated with the listed firm’s director, was buying the TV station.

Gilbert Ho Chi-hang, AID Partners’ executive director, said there was there was nothing illegal with the transaction.

However, stock exchange data showed that the listed company’s independent director Yuen Kwok-on sold 720,000 shares for HK$324,000 on the same date. 

AID Partners chief executive Kelvin Wu King-shiu said the ATV acquisition was proposed by his personal company, which is not related to the listed firm.

Wu said he wanted to meet with Communication Authority officials to seek a new arrangement about the television broadcaster’s bandwidth.

At this stage, he will not inject any money into ATV, he said.

Translation by Vey Wong

[Chinese version 中文版]

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