(Adds details, share price)
Nov 25 Chinese online game developer Giant
Interactive Group Inc received a go-private offer from
Chairman Yuzhu Shi and an affiliate of Baring Private Equity
Asia, valuing the company at about $2.8 billion.
The offer of $11.75 per American Depositary Share represents
a 16 percent premium to the stock's closing price on the New
York Stock Exchange on Friday.
Giant Interactive's shares were up 13.5 percent at $11.50
before the bell on Monday. Shares of the company have risen 87
percent this year as the popularity of online gaming soars in
Chinese online gaming generated revenue of about $3.3
billion in the second quarter, up about 27 percent from a year
earlier, according to research firm iResearch. (r.reuters.com/dyv84v)
Giant Interactive, known for its ZT Online and XT Online
series, reported a 9 percent rise in revenue to about $96
million for the third quarter.
The company's games allow users to play online while
interacting with each other, a feature commonly called
"massively multiplayer online games" (MMOG).
Giant Interactive, whose main competitors are Changyou.com
, Perfect World and NetEase, said the
bidding group already owned about 47.2 percent of its shares.
The bidders expect to finance the deal with a combination of
debt and equity capital, the company said.
(Reporting by Soham Chatterjee; Editing by Sriraj Kalluvila)