(Reuters) -Chinese media firm China Ruyi Holdings said on Tuesday it had raised HK$2.34 billion ($301.74 million) in a convertible bond transaction, defying the current bout of global financial market volatility.
The sum was at the low end of the $300 million to $500 million range that Reuters reported China Ruyi was looking to raise.
The streaming media group said in a statement the funds raised from the capital initiative would be used for the group’s business expansion efforts, among other operational requirements.
The deal came as investors grapple with an escalating trade war sparked by U.S President Donald Trump’s sweeping tariffs package which has roiled global financial markets.
Equity capital market activity had been expected to slow dramatically, according to bankers, as ongoing uncertainty on the tariff implications prompted investors to retreat to the sidelines.
Before the market turned volatile, Chinese firms had moved to accelerate offshore equity fundraising efforts, tapping into a rebound in investor sentiment fueled by hopes of Beijing’s increasing support for private firms.
Ruyi, which counts Tencent as its second largest shareholder with a 16.4% stake and a major customer, engages in online streaming services, film and television production and distribution business, as well as online gaming services.
It has produced several popular Chinese series, including “To the Wonder” and “War of Faith”.
Ruyi shares are down 5.7% so far this year, according to LSEG data.
($1 = 7.7550 Hong Kong dollars)
(Reporting by Scott Murdoch in Sydney and Rajasik Mukherjee; Editing by Devika Syamnath, Mohammed Safi Shamsi and Sonali Paul)
