Hong Kong property investment company Asia Orient Holdings has become the latest of the territory’s developers to branch out into internet services by purchasing a 40% stake in the world’s largest web-based independent Chinese content provider, China Infobank, for $30m. The transaction takes places as China Infobank is gearing up to apply for a Nasdaq listing which aims at raising hundreds of millions of Hong Kong dollars next year. The purchase will make Asia Orient the single largest shareholder in China Infobank. It is being financed through the issue of new shares.
China Infobank has accumulated losses of HK$27.19m ($3.48m) and this year predicts revenue of $4m which company president Jimmy Wong predicts will grow to $73m by 2002. He said the company will turn around next year and post a profit.
