Food, tourism sectors lead shares decline

Huang Yixuan
China stocks extended their fall on Thursday dragged down by losses in several sectors while Shanghai police investigation posed problems for Seazen Holdings.
Huang Yixuan

China stocks extended their fall on Thursday, dragged down by losses in the catering and tourism sector as well as food and beverage companies.

The Shanghai Composite Index edged down by 0.33 percent to 3,005.25 points. The smaller Shenzhen Component Index dropped 0.55 percent to 9,368.3 points, while the blue chip CSI300 index closed 0.52 percent lower at 3,873.1 points.

The turnover on the two bourses totaled 438.51 billion yuan (US$63.83 billion), shrinking from the previous session's 488.11 billion.

Tourism companies were among the big decliners. China lnternational Travel Service Corp Ltd fell 5.53 percent, while Tempus Global Business Service Group Holding Ltd and Tibet Tourism both shed over 3 percent.

The food and beverage sector also dropped, with Shandong Huifa Foodstuff Co plunging by the 10 percent daily cap. Xiangpiaopiao Food Co and Sanquan Food Co both fell by more than 7 percent.

Pharmaceutical shares, the agriculture, forestry, animal husbandry and fisheries sector, and non-ferrous metal firms also posted big losses.

Seazen Holdings shares listed on the Shanghai bourse took a nosedive by the daily limit of 10 percent. Wang Zhenhua, founder of Future Land Development Holdings and Seazen's former chairman, has been detained by Shanghai police in an investigation into child molestation. His son, Wang Xiaosong, took over as chairman on Wednesday.

Future Land Development Holdings and S-Enjoy Service Group, both listed on the Hong Kong market and also controlled by Wang Zhenhua, both tumbled over 10 percent on Thursday.

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