T. Rowe Price cuts shareholding in Gome

Jul. 1, 2009 (China Knowledge) - T. Rowe Price Associates Group, Inc, a U.S.-based financial services holding company, on Jun. 26 cut its shareholding in China's Gome Electrical Appliances Holding Ltd<0493> to 5.95% from the previous 6.22%, according to the bourse operator Hong Kong Exchanges and Clearing (HKEx)<0388>.

HKEx said that T. Rowe Price sold nearly 34.3 million shares of Gome on Sunday for HK$65.92 million at an average share price of HK$ 1.922 apiece.

T. Rowe Price had already sold a total of 255.6 million shares of Gome on Jun. 24 and Jun. 25.

It is estimated that T. Rowe Price reaped HK$553 million from the three share transactions.

Currently, Gome's largest shareholder is still its founder and former chairman, Huang Guangyu.

Last month, Gome said U.S.-based private equity giant Bain Capital LLC will invest about HK$3.2 billion in the company in exchange for a stake of up to 23.5%.