19 Jan 2011 10:34

Phoenix Satellite to spin off new media business in US listing

Shanghai. January 19. INTERFAX-CHINA - Hong Kong-based Phoenix Satellite Television Holding Ltd. (Phoenix Satellite) plans to list its new media business on the New York Stock Exchange or the Nasdaq board, the company said in a Jan. 18 filing with the Hong Kong Stock Exchange (HKSE).

The new media business, which includes the Web portal ifeng.com and online video platform Phoenix Broadcasting, will be spun off from its current operator Phoenix New Media Limited (PNM).

Phoenix Satellite said in the filing that it would continue to own more than half of PNM following the listing, down from its present stake of 99.27 percent. It did not disclose a timetable or financial terms for the floatation.

Revenue for the new media business surged roughly 733 percent year-on-year to HK$245 million ($31.5 million) in the first half of 2010, according to Phoenix Satellite's 2010 interim financial report.

Phoenix Satellite's shares on the HKSE resumed trading on Jan. 19 after being suspended the previous day. Its shares closed HK$2.90 ($0.37) after morning trading on Jan. 19, down 2.03 percent from Jan. 17.