Chinese Property Company Crashes After Chairman Is Detained

Shares of Chinese property Agile Property Holdings fell more than 17% on Monday after trading in the shares re-opened after the company canceled a proposed $US350 million share offering.

Trading in the stock had been halted since October 3, pending news about the share offering, which was supposed to take place last Friday.

The halt in shares and the cancelling of the offering also came amid rumours that the company’s chairman, Chen Zhoulin, had gone missing; Zhoulin and his family are the company’s controlling shareholders.

On Monday, Zhoulin was placed under custody by Chinese prosecutors and accused of money laundering, according to a Bloomberg News report on Monday.

Here’s the chart of Monday trading in Agile shares in Hong Kong, which were down as much as 31% at one point before closing with losses of 17%.

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