Shares of China’s Landsea Green rise as it plans to acquire a Texas homebuilder for $185 million
shares of Chinese developer Landsea Green Management 106;
The gains came after the company announced its Nasdaq-listed unit would acquire a Texas homebuilder for $185 million.
Shares rose 19% in early Hong Kong trading on Friday, pushing the stock into the green for the year.
Prior to the transaction, Landsea Green was announced by Landsea Homes subsidiary LSEA.
Subject to shareholder approval, it plans to acquire Texas-based family homebuilder Antares Acquisition. It plans to pay the base purchase price of $185 million, financed from Landsea Homes’ internal resources.
Landsea Green, which operates real estate operations in the U.S. and China, said the deal will help it expand into the Dallas/Fort Worth area.
Landsea Green holds a 54% stake in Landsea Homes. Shares of the U.S. division are up 87% in the past 12 months.
This news comes after Landsea Homes announced last month that it would expand with 145 new homes in Arizona.
