TRADING FLOOR – July 18 -The rumours are that Jiayuan is being eyed up for acquisition by both Tencent and the soon-to-IPO Alibaba. Jiayuan’s current market cap is $150M. Considering Alibaba had profits of $669M in Q1 2013, snapping up Jiayuan would hardly be noticeable. Tencent is in an equally strong financial position so a 20% increase might be warranted. A trend in China is for some listed companies to snap up smaller businesses in front of the nose of PE firms by offering much higher multiples than these investors are willing to do.
by Fredrik Oqvist
See full article at Trading Floor
what will happen to the stock its at 6.25
what will happen to the stock its at 6.25