GGRAsia – Lottery firm mulls extra listing in Hong Kong or New York

Lottery firm mulls extra listing in Hong Kong or New York

Dec 05, 2014 Newsdesk Industry Talk, Latest News, Top of the deck

London-listed DJI Holdings Plc, a licensed distributor and promoter of sports and welfare lottery products to the Chinese mainland market, is pursuing a listing of its shares on an additional stock market in 2015. The company says it is considering Hong Kong or Nasdaq in New York.

“In response to investor discussions in both Hong Kong and the United States, DJI expects that a listing in either Hong Kong or the United States would provide the group with access to a wider investor base and facilitate increased liquidity in its shares,” the firm said in a statement.

“No decision has been taken whether to list in Hong Kong or the United States as a formal evaluation process is underway,” it added.

“DJI expects to appoint advisors in the New Year and pursue this additional listing in 2015.”

DJI began trading on London’s Alternative Investment Market on July 24. At the time, the company raised £15 million (US$25.6 million) via a placing of new ordinary shares and the issuance of convertible loan notes.

The firm, which narrowed its losses for the first half of 2014, said it has neither the intention to issue any additional shares nor to raise new funds in connection with the proposed additional listing.

“We’re very enthusiastic about the prospect of listing our stock on another exchange. An additional listing will help to raise awareness of our business among investors in the U.S. and throughout Asia,” said DJI chief executive Darren Mercer.

“It should also provide an opportunity for increased research coverage, greater liquidity for our shares and allow a larger base of interested investors to consider our stock alongside our peers operating in the fast growing Chinese lottery market,” Mr Mercer added.

In September, DJI said it had secured an exclusive contract to supply Xinhuacai Technology Co – a subsidiary of China’s official state news agency Xinhua – with a technology platform and a range of mobile lottery games and lottery services.