Value Partners slumps on stake sale talks

Value Partners Group, one of Asia's largest asset managers by market capitalization, plunged 4.3 percent on Tuesday after it confirmed talks over a potential stake sale on Monday evening.

As the first asset management firm listed in Hong Kong, Value Partners saw its shares surge as much as 8.6 percent on Monday after media reports said HNA Group is in talks it purchase some shares held by its Chairman Cheah Cheng-hye. The stock headed for its biggest gain in more than a year, until trading was suddenly halted.

Value Partners said in a Hong Kong exchange filing on Monday evening that its shareholders Cheah and Yeh V-nee are in discussions with a potential buyer of their shares. The two shareholders and the potential purchaser signed a non-binding memo of understanding on January 24.