These four stocks saw a lot of action on Wednesday as company news releases were the catalysts to increased trader interest and trading volume.
Zagg Inc. (ZAGG) is a mobile device accessories provider featuring innovative films, skins, audio and power solutions. The stock rose 19% on Wednesday, putting the stock up nearly 450% over the past year, after the company announced the acquisition of iFrogz, a mobile device accessories company specializing in lifestyle audio products and protective cases, for $105 million. Zagg noted that iFrogz is highly complementary to Zagg in terms of brand positioning, product lines and customer base. iFrogz products are sold worldwide through leading retailers such as AT&T (T), Best Buy (BBY) and Walmart (WMT). ZAGG expects the acquisition to be immediately accretive on an earnings per share basis, excluding one-time transaction-related expenses.
China Ming Yang Wind Power (MY) is a wind turbine manufacturer in China. The stock rose over 12% after the company announced detailed plans for the commercialization of its 2.5/3.0MW Super Compact Drive ("SCD") prototype wind turbine generator ("WTG"). The company also celebrated six months of successful operation of its 2.5/3.0MW SCD prototype in Rudong, Jiangsu, which was connected to the power grid at the end of 2010.
E-House (EJ), a real estate services company in China, announced today that Mr. Xin Zhou, a major shareholder and executive chairman of the company, intends to use his personal funds to purchase up to an aggregate of $10 million of E-House's shares in open market transactions within the next 12 months. Zhou added that despite the challenging real estate market conditions the company is experiencing now, he is confident in the strong fundamentals and long-term prospects of the real estate industry in China and the ability of E-House to execute its business strategies. The stock rose nearly 10% in response to the news.
Asia Entertainment & Resources (AERL), which operates through its subsidiaries and related promoter companies as a VIP room gaming promoter, rose 15% after it announced a regular semi-annual cash dividend of $0.10 per share each year after the release of the company’s financial results for the six months ending June 30, and, for each year after the release of the company’s financial results, an amount per outstanding ordinary share equal to (i) 15% of the company’s non-GAAP net income for the most recently completed fiscal year less the amount paid pursuant to the immediately previous six-month dividend, divided by (ii) the number of ordinary shares outstanding on the record date for such dividend. The company also announced today that its board authorized the establishment of a share repurchase program for the company to purchase up to two million of its ordinary shares.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.