Shares in game companies fire up

Shares of game firms surged on the stock market on Tuesday after the regulator approved 20 new products.

China resumed approval for new games at the end of last year, after a freeze since March of 2018. 

On Tuesday, Perfect World jumped 5.36 percent to close at 26.30 yuan (US$3.9). Yoozoo surged 5.1 percent while Kingnet surged the 10 percent daily cap. By comparison, the Shenzhen stock index gained 0.48 percent on Tuesday.

Kingnet, a Shanghai-based game developer, had reported a net profit decrease in the first half because of “strict regulation environment.” 

A huge number of new games have been waiting for approval.

The approved games include 17 mobile games, two webpage games and one PC-client game, according to the State Administration of Press, Publication, Radio, Film and Television.

Meanwhile, Chinajoy, the country’s biggest game show, will open in Shanghai on Friday. 

Game firms including the Perfect World and Yoozoo will showcase new titles and strategies such as 5G and eSports, organizers said.

Shanghai plans to establish itself as a global eSports center within three to five years.

An eSports Week event will be held at Chinajoy for the first time this year. A professional eSports forum will also be held during the event on Saturday.