Interesting "impasse" doesn't scare people anymore, Qihu still goes up in a down market. I think more people know truth, not falling for it.
FUD or no FUD, if you want to rely on the Chinese government, someone who wants you to believe everything is great and a transaction that is being finalized in a manner completely foreign to US regulations then go for it. But there is nothing straightforward or guaranteed about what is going on here. That said, hope it all works out for you.
I don't short or play options. Margin for QIHU is 50 percent and MOMO is 75%.
Would you mind disclosing what all the requirements are with ST--long and short equity and short options? TIA
Scottrade raised the margin requirements on QIHU and MOMO.
Given the opportunity, and some scandalous journalists who will gladly take cash to make up a story. Big money brought down Vnet MOMO and Qihu in order to get in on these, either missed opportunities, or are just plain influential greedy and ruthless pigs who know how to work media to profit. And now as these stocks rise they fill their pockets.
Nothing new in the article, and no mention of the facts conveyed by the Chinese media. Just re-use of the word "impasse", which is now in the first paragraph of the article and not by headline writer. Seems like someone over at Bloomberg has an agenda. Or their trader/investor friends do.
QIHU will be back to 75+ when it gets SAFE approval. Even if the conversion needs to be done in multiple batches, QIHU will be able to arrange a bridge loan quickly once they know the timing and amount of batches. They have the fund available currently in the two Tianjin companies, so it is a safe bridge loan for JP Morgan and Citic to arrange.
These news only show up in Chinese media. Use google translate should work, even though the translation may not be precise.
The most optimistic point of the news that was released along side the funds in place, was that they may be able to close the deal by tapping into foreign sources for dollars, and repay that bridge loan in the batches that SAFE approves. This would be a win-win for the company and shareholders. Sure it increases qihoo's cost of financing, but it helps alleviate pressure from all sides. This is what I hope they do, and it sounds like it's in the cards now.
Thanks for the update. QIHU is trading in tight range again on much lower volume than last week. Hope it continues to creep up to $75-76 area.
I appreciate your posts today! However I can't seem to get the translated version of these articles, any chance you could help me with that?
Yeah - the fact that the privatization of Jiayuan (NASDAQ:DATE) completed last Friday and both Bona Films (Nasdaq:BONA) and Home Inns (Nasdaq:HMIN) completed in early April indicates that the author's assertion is bull. My guess is she doesn't even know these happened.