China's iDreamSky falls most in 5 months on discounted share sale

iDreamSky Technology Holdings

24/07/2024 05:21

** Shares of Chinese games developer iDreamSky Technology
Holdings Ltd  1119.HK  drop 8.8% to HK$2.28, on track for the
biggest one-day pct decline since Feb. 19 if current losses hold
    ** Stock sinks to the lowest since July 8, and on track for
a second session of decline
    ** Co plans to sell 119.95 mln shares, representing 7.09% of
the enlarged share capital, to third-party investors, raising
HK$257.7 mln ($33.00 mln) to fund research and development of
products, overseas distribution and for working capital
    ** The new shares will be issued at HK$2.15 apiece, a 14%
discount to Tuesday's close of HK$2.5
    ** The Hang Seng Commerce & Industry Index  .HSNC  eases
0.7%, the Hang Seng Composite Index on information technology
firms  .HSCIIT  falls 0.8% and the Hang Seng Index  .HSI  slips
0.6%
    ** Stock up 8.2% YTD  
($1 = 7.8086 Hong Kong dollars)

 (Reporting by Donny Kwok)
 ((donny.kwok@thomsonreuters.com))