I have to credit telecoms equipment maker ZTE (HKEx: 763; Shenzhen: 000063) for chasing an interesting new idea, following reports that it’s preparing to launch a gaming console later this month. Such a plan plays to ZTE’s telecoms strength, since such consoles are almost inevitably connected to the Internet these days and are rapidly merging with a similar group of Internet TV set-top boxes. But that said, I have some serious doubts about the chances of success for this new foray, due to the company’s late arrival to the space, and also because I question its choice of venture partner, faded online game operator The9 (Nasdaq: NCTY). Read Full Post…
Firms threaten lawsuits over Giant Interactive buyout
It may be quiet in the US during the Thanksgiving holiday, but shareholder lawyers were hard at work scrutinizing the new management-led buyout offer for online game operator Giant Interactive (NYSE: GA), with at least 2 hinting they will file lawsuits to seek a better bid. This is the second time we’ve seen lawyers question a buyout offer for a US-listed Chinese firm, following a similar development for privatizing telecoms software maker AsiaInfo-Linkage (Nasdaq: ASIA). Both cases highlight the challenges that such buy-outs can face, especially when buyer groups have strong ties to the companies they are seeking to privatize. Read Full Post…
