XTEP Ding Shuibo Family Holdings Stake In Cash 625 Million Yuan

October 27th, XTEP International (01368.HK) announced today its holdings Shareholder Group forming Investment (Ding Shuibo family holding company) will sell a total of 108 million shares (4.96% of the company's shareholding ratio) and 730 million HK dollars (625 million yuan) by Goldman Sachs and JP Morgan, at HK $6.76 per share. With the completion of the placement, the group's investment holdings decreased from 65.17% to 60.2%. The placement is organized and fully underwritten by Goldman Sachs and JP Morgan chase.

XTEP international yesterday closed at HK $7.39, down 2.16%, and the Ding Shuibo family cash price was higher. Closing quotation The price is reduced by 8.5%.

Group investment was directly owned by Ding Shuibo, the founder of the company and executive director Ding Meiqing, 63.2% and 36.8% respectively. This is the first time that group investment has been sold since XTEP went public in June 3, 2008. The board expects that the placement will not have a significant impact on its daily operation and will not change its top management. The Ding Shuibo family said it would continue to hold the company, placing it on the basis of the company's investor base and improving its liquidity.

According to XTEP's mid term earnings report, XTEP international made a net profit of 373 million yuan in the first half of this year, an increase of 21.83% compared with the same period in 2009 and a profit of 17.18 yuan per share. The company recorded a net profit of 307 million yuan in the same period in 2009.

XTEP international listed on the Hongkong stock exchange in June 3, 2008. The issue price is HK $4.08. According to XTEP International's closing price of HK $7.39 yesterday, XTEP international stock price has risen 80% compared with the two years ago, and the founder shareholders have the impulse to cash in.