Deals
Shares in Chinese Netflix-Style Streaming Company Plummet
- Jia Yueting’s main listed firm slumps 10% upon resumption
- LeEco’s still trying to resolve a crippling cash crunch
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Leshi Internet Information & Technology Corp., the struggling Netflix-style streaming company started by brash Chinese entrepreneur Jia Yueting, may have embarked on a long, downward market spiral.
Shares in the main listed vehicle of Jia’s LeEco technology empire fell by their daily limit after resuming trade for the first time in more than nine months -- a hiatus triggered by a cascade of disclosures and complaints about unpaid bills, mounting debt and market share losses since early 2017. The stock plummeted 10 percent to 13.80 yuan within seconds of resuming trade in Shenzhen -- with one fund management firm projecting a fall to as low as 3.90 yuan.