Bloomberg Anywhere Login


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

NQ Rises First Time in Seven Days on Deposit Verification

Oct. 29 (Bloomberg) -- NQ Mobile Inc., the Chinese mobile-services provider that sank 62 percent in the three days after Muddy Waters LLC said it inflated sales, rose as the company took steps to make its bank deposits more transparent.

American depositary receipts of NQ Mobile jumped 7.6 percent to $9.47 at 10:50 a.m. in New York, advancing for the first time since Oct. 18. Muddy Waters, the research firm founded by short seller Carson Block, said in an Oct. 24 report that the company inflated revenue and misrepresented cash balances. NQ Mobile denied the allegations the next day.

NQ Mobile transferred 100 million yuan ($16.4 million) of deposits to Standard Chartered Plc and authorized it to independently verify the company’s deposits as well as provide details to investors seeking the information. Separately, the Beijing-based company said that China Mobile Ltd., the nation’s biggest wireless operator, allowed the use of NQ Mobile’s technology in the carrier’s music service.

“NQ’s statements on its bank deposits with Standard Chartered and cooperation with China Mobile, a big telecom operator, are helpful to its stock,” Echo He, an analyst at Maxim Group LLC, said by phone from New York today. “An even more effective way for the company to prove itself would be data from an independent party that can verify its market share and business performance.”

To contact the reporter on this story: Belinda Cao in New York at

To contact the editor responsible for this story: Tal Barak Harif at

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.