Co-founder cashes in $232m via Longfor block

Cai Kui, co-founder of Longfor Properties, took advantage of the stock’s recent rally to sell almost a tenth of his stake in the Chinese property developer late on Wednesday.

The secondary block trade raised HK$1.8 billion $232 million and sends a positive signal to the market given the recent paucity of real estate action in the Hong Kong primary market.

So far this year there has not been any equity deal worth $100 million or above that involves Chinese property companies.

From the seller’s perspective, offloading property shares through block trades are not often popular because they typically have to be discounted...