LONDON-Shares of content aggregator MonsterMob Group plc received a much-needed boost after the company acknowledged it may be a target for acquisition.
MonsterMob, which operates ringtone storefronts in the United States, Europe and Asia, said it had “received an indicative approach that may or may not lead to an offer being made for the company. The board wishes to stress that discussions are at a preliminary stage, the proposals being considered are subject to a number of material pre-conditions and there is no certainty that any offer will be made for the company.”
Shares surged more than 22 percent on the news, closing at $1.33.
Monstermob has seen shares falling steadily for the past few months amid profit warnings and a front-office shakeup. The stock fell more than 21 percent in June as the company lowered forecasts and ousted Chief Executive Officer Martin Higginson, and MonsterMob’s value crumbled from more than $150 million to just over $58 million last month as new Chinese regulations for mobile-phone content threatened revenues.
