[ad_1]
Shares of the Hong Kong-controlled media company controlled by Jimmy Laik rose 330 percent when they began trading as authorities froze the assets of a pro-democracy imprisoned tycoon under a controversial national security law.
Hong Kong-listed Next Digital has an Apple Daily newspaper, which angered the city government over its role in holding pro-democracy demonstrations in 2019. Lai is in prison for participating in protests and has other allegations, including conspiracy to join foreign forces. According to Hong Kong security law.
Shares of Next Digital were later cut in Thursday’s trading to gain 96 percent higher.
Dickie Wong, director of mediation at Kingston Securities in Hong Kong, said Apple Daily supporters are likely to buy the stock and have nothing to do with the health of the business.
“Of course, the momentum on the purchase side is very strong… Some members of the ‘yellow’ party may support this company,” said Wong, referring to the pro-democracy movement in Hong Kong, whose members are known for wearing yellow ribbons.
Apple Daily angered city government over role in covering pro-democracy demonstrations in 2019 © AP
Next Digital’s shares have been highly volatile in Lai’s legal issues. In August, stocks nearly tripled after the billionaire was arrested for allegedly violating national security law and a search of the Apple Daily office. Proponents of her case have been working to make the actual transcript of this statement available online.
As a result, the police He arrested 15 people in September accused of conspiracy to commit fraud and money laundering, some of the detainees accused him of manipulating the price of Next shares.
Apple Daily has been facing financial difficulties due to the pandemic and eventually concerns that the authorities will force it to close the newspaper. It has also halted the print edition of the Taiwan edition.
Earlier this month The Hong Kong government froze Lai’s shares In Next Digital, as well as the bank accounts of the three companies it owns. This led to the suspension of trading in the group’s shares.
The developments were used against a majority investor in a listed company that was first used by Beijing’s national security law last year.
Lai owns 71 percent of Next Digital. He has also given several important loans to the company.
The next digital resumption of stock trading said late Wednesday it was in discussions with its auditors and had enough capital for at least 16 months from June. The company added that it met the 25 per cent public float requirement under the stock exchange listing rules.
Leading voices in favor of Beijing in Hong Kong continue to put pressure on the company.
CY Leung, a former city leader, said in a Facebook post on Wednesday that Next Digital’s management was “irresponsible,” “irresponsible” and “misleading,” saying the group’s operation and economic health were not affected by the Lai freeze. active.
Leung, who suggested he was a small shareholder in Next Digital, added that he had complained to financial regulators about the group’s comments.
[ad_2]
Source link
