Morgan Stanley Stake Purchase Propels NQ Mobile’s Stock Rally
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NQ Mobile Inc., the Chinese mobile services provider accused by short seller Muddy Waters of overstating revenue, surged the most in a month after Morgan Stanley said it bought a stake in the company.
Shares of the Beijing-based company soared 17 percent to $13.90 in New York, the biggest gain since Nov. 11. Morgan Stanley, which helped NQ Mobile raise $173 million in convertible bonds in October, said in a filing that it has a 5.2 percent stake. The Bloomberg China-US Index of Chinese companies trading in the U.S. slipped 0.6 percent yesterday, paring its 6 percent advance this year.