Yoozoo closing in on planned equity transfer
Shanghai-based Yoozoo, whose former chairman Lin Qi died after being poisoned in December, said on Thursday it is making "great progress" on a planned equity transfer.
With news of the progress, the Shenzhen-listed Yoozoo, also known as Youzu Interactive, surged 10 percent on Thursday to reach the daily cap, closing at 16.58 yuan (US$2.55) per share.
Yoozoo's potential buyers include Sina, Bilibili, Kuaishou and other tech giants, according to market rumors.
However, there are still uncertainties related to any deal, Yoozoo said in a statement to the Shenzhen Stock Exchange. The company declined to make further comments on the issue today.
Shanghai-based Bilibili was in talks to buy a 24 percent stake in Yoozoo for 5 billion yuan, according to previous media reports, but the two companies declined to comment.
Yoozoo has developed games based on the "Game of Thrones" series, and owns copyrights of popular titles like "Three Body." It also operates several games in the domestic and overseas markets.
The company has faced management challenges since Lin's death. The case is still under investigation, police said.
In the first quarter, Yoozoo's net profit was 187 million yuan, a year-on-year decrease of 48.4 percent.
Yoozoo's share price has increased about 60 percent since March, with rumors of share acquisitions. But the share price is still 17 percent lower than a three-month high of 19.85 yuan.