Stock Update (NASDAQ:DSKY): iDreamSky Technology Ltd (ADR) Special Committee Retains Financial Advisor and Legal Counsel
iDreamSky Technology Ltd (ADR) (NASDAQ:DSKY), China’s leading independent mobile game publishing platform, announced that the special committee of its board of directors (the “Special Committee”), formed to consider the proposal by Mr. Michael Xiangyu Chen, chairman of the board of directors and chief executive officer of the Company, to acquire all of the outstanding Class A and Class B ordinary shares of the Company not owned by him or his affiliates, including Class A ordinary shares represented by American depositary shares (the “Proposed Transaction”), confirms the retention of Duff & Phelps (Duff & Phelps, LLC and Duff & Phelps Securities, LLC) as its financial advisor and Shearman & Sterling as its United States legal counsel to assist the Special Committee in its work.
The Special Committee is continuing its evaluation of the Proposed Transaction. There can be no assurance that any definitive agreement will be executed relating to the Proposed Transaction or that this or any other transaction will be approved or consummated. The Company does not undertake any obligation to provide any updates with respect to the Proposed Transaction or any other transaction, except as required under applicable law. (Original Source)
Shares of iDreamSky Technology closed last Friday at $13.27 . DSKY has a 1-year high of $25.95 and a 1-year low of $6.64. The stock’s 50-day moving average is $10.46 and its 200-day moving average is $11.74.
On the ratings front, iDreamSky Technology has been the subject of a number of recent research reports. In a report issued on June 2, Rosenblatt Securities analyst Jun Zhang reiterated a Buy rating on DSKY, with a price target of $12, which reflects a potential downside of -9.6% from last closing price. Separately, on June 1, Piper Jaffray’s Gene Munster maintained a Buy rating on the stock and has a price target of $14.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Jun Zhang and Gene Munster have a total average return of 15.8% and 26.6% respectively. Zhang has a success rate of 83.3% and is ranked #1563 out of 3638 analysts, while Munster has a success rate of 69.7% and is ranked #2.
iDreamSky Technology Ltd through its subsidiaries is engaged in the licensing and operating of single player mobile games and mobile online games in the People’s Republic of China.