HK-listed game developer CMGE hits near 4-week low on discounted share sale
24/11/2020 02:13
** Shares of Chinese mobile game publisher and developer
CMGE Technology Group Ltd 0302.HK fall as much as 12.8% to
HK$2.92, their lowest since Oct. 30
** Stock last down 12.2%, set for the worst day since
listing in October 2019; on track for second straight session of
decline
** Stock ranks the sixth biggest percentage decliner among
all listed companies on the Hong Kong bourse; sixth most
actively traded by turnover
** Guangdong-based firm plans sale of 180 mln new shares to
shareholder Fairview Ridge Investment Ltd, raising HK$543.6 mln
($70.1 mln) to develop game publishing business and to acquire
game developers urn:newsml:reuters.com:*:nFWN2I90UG
** Says the new shares will be issued at HK$3.02 apiece, or
9.9% discount to the closing price of HK$3.35 each on Nov. 23
** Fairview will buy the new shares on completion of sale of
the same amount of existing shares at the same price to third
party investors
** The Hong Kong Hang Seng sub-index tracking information
technology firms .HSCIIT declines 0.7%
** The Hang Seng China enterprises index .HSCE eases 0.4%,
and the benchmark index .HSI edges down 0.2%
** As of last close, the stock had gained 7.7% this year
($1 = 7.7519 Hong Kong dollars)
(Reuters Messaging: donny.kwok.thomsonreuters.com@reuters.net)