Chinese footwear giant Belle International Holdings Ltd has suspended trading in its shares pending an announcement related to Hong Kong’s “takeovers and mergers” code, the firm said in a filing on Tuesday.
Bloomberg, citing people with knowledge of the matter, reported Belle’s management were in talks with CDH Investment Fund Management Co about a potential buyout.
Reuters could not immediately reach Belle for comment. CDH did not immediately respond to requests for comment.
Belle said in its statement to the Hong Kong stock exchange that its shares would be suspended “pending the release of an announcement pursuant to The Hong Kong Code on Takeovers and Mergers, which is price sensitive in nature.”
China’s top footwear retailer, which has over 20,000 mainland outlets, expects to see a sharp profit fall when it reports full-year earnings in May as shifting consumer style preferences put pressure on its shoe business.
Belle distributes several sportswear brands, including Nike , Adidas, Puma and Converse.
It has a market capitalisation of HK$44.45 billion ($5.72 billion).