Le.com Delisted by Shenzhen Stock Exchange Due to Massive Losses
The Shenzhen Stock Exchange has terminated the listing of Le.com, a company founded by the debt-ridden Jia Yueting who is also the founder of the EV-maker Faraday Future. The market value of Le.com at IPO in 2010 exceeded 100 billion yuan, making it the highest valued company in Second-board Market at the time.
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According to Le.com’s 2019 annual financial report released on April 27, the company’s audited net profit attributable to shareholders, net profits after deducting non-recurring gains and losses, as well as net assets were all negative.
Based on the Exchange’s listing rules for GEM stocks and the audit of the Exchange’s listing committee, the Shenzhen Stock Exchange decided to cease the listing of Le.com stocks on May 14.
Le.com, also known as Leshi Internet Information and Technology Corp., had negative net assets attributable to shareholders audited in 2018, and the company’s stocks had been suspended from May 13, 2019. Le.com was the only Chinese video platform listed within mainland China.