June 28 -- Brewer Tibet Galaxy Science and Technology Development (000752) said its largest shareholder, Guangda Jinlian Industrial, had sold a cumulative 15.19 percent stake in the company in the past six months as shares of the company rose following news of the setting up of a rare earth joint venture, reports China Business News, citing a company filing.

Guangda Jinlian had sold approximately 40.06 million shares during the period between end 2010 and June 23, 2011.

Following the share sales, the shareholding of Guangda Jinlian was reduced to 14.22 percent, or 37.50 million shares.

According to Guangda Jinlian, the purpose of the share sales is to boost its tight cash flow.

The second-largest shareholder, the State Owned Assets Supervison and Administration Commission of Tibet, had also sold shares in the company, lowering its stake to 12.25 percent as of end May.

Shares of Tibet Galaxy had hit a low of 8.62 yuan in January this year, before rising to a high of 38.4 yuan earlier this month.

Shares of Tibet Galaxy rose 2.33 percent to trade at 33.43 yuan at 11:21 today.