Guangzhou Auto plans share sale in HK

Guangzhou Automobile Group plans to sell shares in Hong Kong to pay for expansion, Bloomberg reported, citing statements made to the Hong Kong Stock Exchange. China’s sixth-largest automaker also will exchange shares for additional stock in Denway Motors in addition to the 37.9% it already owns. Guangzhou Auto plans to privatize Denway. The company also bought a stake in Hunan Changfeng Motors last May and is increasing cooperation with foreign partners like Toyota. Last year Guangzhou auto boosted sales by 15% to 606,600 units.