Stocks in Hong Kong’s technology companies have been gripped by a buying frenzy since Monday, fueled by rampant speculation that they stand on the brink of attracting major overseas investors or may develop more internet-related products. Since Monday stocks in Pacific Century Cyber Works, New World CyberBase, China Online and GreatWall Technology have accounted for just below 30% of market turnover. The firms made up four of the top five most active stocks, on Tuesday, on the Hang Seng index of companies listed on the Hong Kong stock exchange.
The activity has been largely driven by CyberWorks, the satellite-based broadband internet service provider, which this week announced plans to go live in the first quarter of next year. Even after falling 11.02% yesterday on profit taking, CyberWork’s market capitalization is now $36.45bn, giving it a market value exceeding 17 of the 33 members of the Hang Seng index. CyberWork’s stock price surge has filtered through to companies with related business, particularly ISP, China Online, in which it holds a stake. á
