Update | Sound Global suspended from trading under order of Hong Kong regulator

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Sound Global shares were suspended from trade ahead of the Hong Kong open on Wednesday. Photo: Sam Tsang

Published: 3:23pm, 13 Apr 2016Updated: 3:32pm, 13 Apr 2016

Sewage treatment company Sound Global was suspended from trading on Wednesday under order of the Securities and Futures Commission, although no reasons for the trading halt were given.

Sound Global said in an announcement on Wednesday that the SFC under trading rule 8.1 has directed to the Stock Exchange of Hong Kong to suspended all dealing of its shares from 9am.

A spokesman of the SFC said the trading suspension was directed under a specific section of the listing rules concerning information disclosure by listed companies.

“The rule permits the SFC to direct the stock exchange to suspend trading in a company where false or misleading information is included in a document issued in connection with a listing where it is necessary to ensure an orderly market or it is in the interests of the investing public,” the SFC spokesman said.

The company last closed at HK$2.98 on Tuesday, down 3 per cent from its previous close.

The company was first listed in Singapore in 2006, but was later moved to Hong Kong in September 2010. The company is mainly involved in sewage treatment projects in mainland China. In a press release last month it said it had won several mainland projects.

Credit rating agencies downgraded Sound Global in April last year, citing governance deficiencies and internal controls concerns after the Beijing-based firm said it had “potential audit issues” and would set up an independent review committee that might engage forensic accountants.