KVB Kunlun Issues Positive Profit Alert Amid Higher Volatility in Q1

Monday, 27/04/2015 | 10:52 GMT by Victor Golovtchenko

The company’s board has communicated that the brokerage is likely to report substantially higher profits than a year ago

KVB Kunlun Issues Positive Profit Alert Amid Higher Volatility in Q1 — Bloomberg, A view of Hong Kong's skyline at night

According to an announcement by the company’s board, KVB Kunlun is expecting to report a significant increase in revenue and net profit for the three months ending March 21st 2015 as compared to a year ago.

The announcement highlights that the increase was mainly due to higher earnings brought by the upbeat market Volatility , higher trading volumes, currency translation gain and increased commission income.

In the run-up to the official announcement, company shares today traded higher by 5% in Hong Kong, drawing closer to the record highs marked earlier this year in the aftermath of the prospective takeover deal between KVB Kunlun Financial Group Limited and CITIC Securities.

The possible unconditional mandatory cash offers by CITIC Securities Corporate Finance to acquire all the issued KVB Shares of KVB Kunlun are yet to materialize.

On April 2, the companies announced an extension of the Long Stop Date of the Share Purchase Agreement, giving CITIC more time to present its final offer to KVB Kunlun shareholders.

The possible unconditional mandatory cash offers by CITIC Securities Corporate Finance to acquire all the issued KVB Shares of KVB Kunlun are yet to materialize.

On April 2, the companies announced an extension of the Long Stop Date of the Share Purchase Agreement, giving CITIC more time to present its final offer to KVB Kunlun shareholders.