Yuexiu Property's (HKG:0123) subsidiary Leading Affluence had agreed to borrow a revolving loan facility of HK$500 million from a certain bank on Nov. 7, for a term of three years under certain conditions related to the position of the company's controlling shareholder, Yue Xiu Enterprises.
According to the conditions, all the indebtedness under the facility would become immediately due and payable if Yue Xiu's voting shares in the company fall below 30%, or it stops being the single largest shareholder of the company, or ceases to have effective management control over the company.
The company disclosed that as of the date of the filing, Yue Xiu owns around 44% of the issued shares of the company, a Thursday Hong Kong bourse filing said.
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