LIFESTYLE CHI (02136.HK)  -0.050 (-6.250%)   has received a privatization proposal from Chairman Thomas Lau at a price of $0.913 per share, representing a premium of around 21.7% over the pre-suspension price, involving $335 million.

Trading in LIFESTYLE CHI's shares resumed today (9th). The company's stock price rocketed 26.67% at open to $0.95, on a volume of 3.9005 million shares, involving $3.7055 million.

LIFESTYLE CHI stated in its announcement that the privatization proposal aims to provide shareholders with an opportunity to monetize their shares for cash at a premium amidst challenging and uncertain market conditions and low trading liquidity of the shares.

The company also mentioned that the PRC’s economy has been facing various challenges due to various economic and political factors including, complex geopolitical tensions and weak domestic consumption. Although the PRC Government has announced various measures aiming to stabilize the economy and boost domestic consumption, the implementation and effectiveness of these measures are uncertain.

Furthermore, consumers in the PRC have become more prudent in their spending decisions and the overall consumption confidence in the PRC may require more time to improve and hence it is expected that the retail sector in the PRC will remain competitive and challenging in the short to medium term.
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