Shares in Grand Vision Media Holdings PLC (LSE:GVMH) crashed back to earth on Tuesday morning with a 53% decline after it put out a regulatory news statement responding to a previous share price spike.
The Hong Kong-based media company noted the movement in its share price yesterday, having climbed 2,600% since Friday from 0.3p to 8.95p.
After closing yesterday at 5.5p, this morning the shares dropped to 1.4p, before climbing back to 3.99p.
In the statement, Grand Vision said it "confirms that it knows of no commercial or operational reason for the increase" and said it "continues to navigate through the disruption caused by COVID, which has been more pronounced in China as COVID restrictions have recently been relaxed".
The company said it was working on its results for the past calendar year, which it expects to be released before 30 April 2023. Its half-year results in September revealed a post-tax loss of HK$2.3mln down from HK$3.3mln a year earlier, on revenue up 8% to HK$1.88mln.
Grand Vision said at the time that it was being prudent with costs "whilst exploring alternative revenue streams to augment the revenue", including "facilitating international trade" in metals and foodstuffs, amid the lockdown in Shanghai and with cinemas in China still operating at reduced capacity.
In December, Grand Vision appointed Shipleys as its auditor, following the resignation of Jeffreys Henry.