U.S. Markets closed

NQ Mobile Soars On Offer From Bison Capital

John Seward

NQ Mobile (NYSE: NQ) shares soared in pre-market action on news it received a $9.80 per share bid from Bison Capital Holding Co.

In pre-market trading, NQ was changing hands at $8.64 per share, up 25 percent.

NQ, an Internet services provider in China, said it's reviewing the offer and may hire a financial advisor. NQ said it has made no decision on Bison's non-binding proposal.

NQ shares are down more than 53 percent since short-seller Carson Block's Muddy Waters research firm said in October the company had over-stated revenue. Its 2013 annual report hasn't yet been filed with the Securities and Exchange Commission.

Short interest accounted for 14.9 million of NQ's 136 million shares outstanding at July 15. That is up from 13.2 million a month earlier.

Bison Capital is based in Los Angeles and New York and has ties to China through its founder Peixin Xu.

See more from Benzinga

© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.