China company whose shares soared 4,500% is puzzled again by new surge

The stock of Wins Finance Holdings Inc climbed as much as 184 per cent to US$230 on June 7, before Nasdaq halted trading of the shares.
The stock of Wins Finance Holdings Inc climbed as much as 184 per cent to US$230 on June 7, before Nasdaq halted trading of the shares. PHOTO: REUTERS

NEW YORK (BLOOMBERG) - Wins Finance Holdings Inc, the Chinese loan guarantor that saw its stock jump 4,500 per cent as 2017 began before erasing those gains, said it doesn't know why it's suddenly skyrocketing again.

The stock climbed as much as 184 per cent to US$230 on Wednesday (June7) - up from about US$20 at the start of this month - before Nasdaq halted trading of the shares. In a statement, the exchange said trading won't resume until the company has "fully satisfied Nasdaq's request for additional information."

A spokeswoman for the exchange declined to comment further.

"We really don't know what's going on," David Rudnick, an investor relations representative for Wins in New York, said by phone as the stock doubled on Tuesday. As it continued the hot streak Wednesday, he said it's not his job to respond to Nasdaq. "I don't know who would know" what information the exchange needs, he said.

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Wins said in February that it couldn't explain what had driven up its stock in the initial rally. The company's market value later tumbled by billions of dollars after Bloomberg reported in March on the mystery. Last Thursday, the company was worth around US$400 million. On Wednesday, it had a market capitalization of more than US$4 billion.