Metaspacex (HKG:1796) said a proposed sale of a controlling stake by China Sports Asset Management to Shenzhen Haoyi Investment was terminated after certain conditions were unlikely to be fulfilled before the June 30 long-stop date, according to a Thursday Hong Kong bourse filing.
Shares of the fitting-out services firm were up over 12% in late morning trade on Friday.
China Sports had agreed to sell 255.9 million shares to Shenzhen Haoyi for HK$64 million under an agreement signed April 14.
The proposed sale followed the disposal of 102.3 million Metaspacex shares held by China Sports by lender Tse's Finance between April 2 and April 9 under a lending arrangement.
Metaspacex said completion required China Sports to repay liabilities owed to Tse's Finance and release the charges over the sale shares.
The company said Shenzhen Haoyi informed China Sports that the condition was unlikely to be fulfilled and would not be waived, leading both parties to terminate the agreement.