The mobile game publisher priced the 3,442,000 American depositary shares (ADS) are $24 an ADS. Each ADS is worth 14 Class A ordinary shares. The offering is expected t close March 26, 2014.
Chine Mobile Games will use the net proceeds from the offering for general corporate purposes, which is says may include game development, game acquisition, intellectual property acquisition, overseas expansion, and working capital.
Must read: Warren Buffett's 10 Favorite Stocks
TheStreet Ratings team rates CHINA MOBILE GAMES -ADR as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
"We rate CHINA MOBILE GAMES -ADR (CMGE) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and impressive record of earnings per share growth. However, as a counter to these strengths, we find that we feel that the company's cash flow from its operations has been weak overall."