Market Overview

Bison Capital May Still Be In Talks To Acquire NQ Mobile


China's Bison Capital may be in talks to acquire NQ Mobile Inc. (NYSE: NQ), according to a person familiar with the matter.

The source told Benzinga on Sunday that one of Bison's partners was still trying to make a deal for the mobile internet service company, based in Beijing, China, but no other details were provided.

Bison made an offer of $9.80 per share for NQ on July 30, 2014. That offer was rejected by NQ's Board on October 28.

NQ shares hit a high of $25.90 on October 21, 2013. Three days later, Carson Block's Muddy Waters Research came out with a "strong sell" on the company, claiming it was "massive fraud." Muddy Waters claimed "at least 72% of NQ's purported 2012 China security revenue is fictitious." That report sent NQ Mobile shares plummeting to a low of $8.46.

In December 2014, the company's Co-founder, Chairman and Co-CEO Dr. Henry Yu Lin stepped down, NQ announced the sale of its game unit, FL Mobile, and the company announced disappointing financial results for the first three quarters of the year.

Benzinga reached out to NQ Mobile, including Co-CEO Omar Khan, regarding the talks with Bison, but did not immediately receive a response.

NQ Mobile shares fell 5 percent Friday, closing at $3.51.

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