China Literature shares plunge after user figures slide, $2.3 bln deal

China Literature

14/08/2018 03:43

HONG KONG, Aug 14 (Reuters) - China Literature Ltd
 0772.HK 's shares slid as much as 14.6 percent on Tuesday,
after the Tencent Holdings  0700.HK -backed firm reported
first-half results that showed a drop in the number of average
monthly paying users and announced a $2.3 billion acquisition.
    China Literature's stock price fell to HK$57.4 apiece in the
morning trading hours, its lowest level since its initial public
offering last November.
    The firm said on Monday that first-half net profit jumped
139 percent to 506 million yuan but its number of average 
monthly paying users slid 7 percent from the same period a year
earlier.
    It announced a 15.5 billion yuan ($2.3 billion) acquisition
of New Classics Media, a Chinese movie and television production
company.

 (Reporting by Kane Wu; Editing by Edwina Gibbs)
 ((kane.wu@thomsonreuters.com; +85228436590; Reuters Messaging:
kane.wu.thomsonreuters.com@reuters.net))