China Travel International to Spin Off, Separately List Hong Kong-Macau Unit
Shares of China Travel International Investment Hong Kong (HKG:0308) gained nearly 11% midday Thursday after the company unveiled plans to spin off and separately list its CTG Hongkong and Macao Culture and Tourism unit in Hong Kong.CTG Hong Kong and Macao serves as the holding company for China Travel's passenger transport, hotel and travel document operations in Hong Kong and Macau.In a filing late Wednesday, China Travel said it had submitted an application to the Hong Kong Exchange for the proposed listing of the subsidiary by way of introduction, meaning no funds will be raised and no new shares will be issued as part of the transaction.The company said the proposed spinoff would enhance strategic focus by separating distinct business segments and allowing each entity to establish its own financing platform.Following the transaction, China Travel will retain its core tourist attraction and related businesses, while the spun-off unit will house the group's travel services operations.
