KVB Kunlun says Hong Kong Stock Exchange considering its proposed listing transfer
The application for KVB Kunlun’s listing transfer to the Main Board is being considered by the Stock Exchange, the broker said today, as it published its results for the third quarter of 2017.
Hong Kong-focused retail FX broker KVB Kunlun Financial Group Ltd (HKG:8077) has just provided us with an update on its plans about its listing transfer. As a part of the announcement of its results for the third quarter of 2017, the company highlighted its intentions to transfer of listing of its shares from GEM to Main Board of the Stock Exchange. The formal application for the change was submitted on August 30, 2017.
The application is currently being considered by the Stock Exchange, the broker said today.
KVB Kunlun stressed that its shareholders and potential investors should be aware that the implementation of the proposed transfer of listing is subject to, inter alia, the granting of relevant approval by the Stock Exchange. Hence, there is no assurance that permission will be obtained from the Stock Exchange for the proposed transfer of listing.
KVB’s Board sees the proposed transfer as a way to enhance the corporate profile of the company. The change is also poised to add competitive strength to the brokerage and bolster the confidence of its investors and stakeholders. The corporate Board also expects that the Main Board trading platform will enhance trading liquidity of the shares of the broker as well as improve its fund raising capabilities. All of these factors are poised to ultimately contribute to increasing value to the KVB’s shareholders.
Regarding the performance metrics revealed today, the broker posted a decrease in its net profit during the first nine months of 2017 compared to the same period a year earlier. The drop was attributed to low volatility in the foreign exchange, commodity and index markets. KVB Kunlun recorded a profit of approximately HK$28.1 million for the nine months ended September 30, 2017 compared to the profit of approximately HK$31.1 million for the same period last year.
On the brighter side, due to an increase in trading volume during the first nine months of 2017, there was an increase in total income. The broker registered a total income of approximately HK$378.6 million for the nine months ended September 30, 2017, representing a rise of approximately 47.8% from approximately HK$256.2 million for the corresponding period in 2016.