NEW YORK (TheStreet) -- Shares of Jumei International Holding (JMEI) are higher by 5.66% to $24.10 in early afternoon trading on Wednesday as some U.S. traded China-based companies get a boost from Qihoo 360 Technology's (QIHU) receipt of a go private offer.
A number of Chinese companies have gone privet recently, or have received offers to go private as tech executives are betting on higher valuations in China, Reuters reports.
The offer for Qihoo came from a consortium led by the software maker's CEO Hongyi Zhou. The company said it will research the offer of $77 per ADS and form a special committee to consider the proposal.
Chinese companies are going private in the hopes of avoiding legal issues when the country officially foreign shareholder control of firms in protected tech sectors illegal, Reuters added.JMEI data by YCharts