Hong Kong-Listed Company Appoints Huobi’s Founder as CEO with Stock Going up 70%
On Sept. 10, Pantronics Holdings Ltd announced to change the company’s English name “Pantronics Holdings Limited” to “Huobi Technology Holdings Limited”. Huobi Group founder Leon Li has been appointed CEO, chairman of the board and executive director of the board of Pantronics Holdings Ltd.
On Sept. 11, Pantronics Holdings Ltd’s stock rose sharply with the highest increase of 69.35% in half an hour.
The stock surge is not new in Huobi’s acquisition of Pantronics. On August 28, Pantronics transferred 221,781,668 of its shares to Leon Li, founder and CEO of Huobi Group which means Huobi will take over 73.73% equity stake of Pantronics, becoming the actual controller of the electronics manufacturing service provider. Following the acquisition news, Pantronics’s stock was going up 130%.
As 8btc previously reported, Huobi was seeking to become the largest shareholder of Hong Kong Stock Exchange(HKEx)-listed Pantronics, an electronic products manufacturing firm. The public firm would transfer 221,781,668 of its shares to Li Lin, founder and CEO of Huobi Group according to the shareholding disclosures filed by Pantronics in August 2018. The filing said that the stock is worth HK$2.7 per share, which means this deal could hit nearly $77 million. The deal, if approved, will open the door for Huobi to go public via a reverse takeover.
Appointed as the CEO, chairman of the board and executive director of the board of Pantronics Holdings Ltd, the 37-year-old Leon Li, who founded the global digital asset giant Huobi Group in 2013, will help the Hong Kong-based investment company “explore potential new opportunities.” Chris Lee, Pantronics’ current executive director added that Li’s knowledge and experience will be invaluable to the Pantronics team.
In January, world’s leading cryptocurrency exchange OKEx sought a possible backdoor listing by buying a majority stake of a Hong Kong-listed company, Star Xu, founder of OKEx has purchased 60.49% stake in LEAP Holdings Group Ltd, a listed company mainly engaged in construction engineering. Other major firms in the crypto space, like mining giants Bitmain, Canaan and Ebang are also looking to host their IPOs in Hong Kong.