Centenarian film mogul Sir Run Run Shaw has abandoned plans to sell his Shaw Brothers company due to the current world financial turmoil.
Shaw made the announcement to the Hong Kong Stock Exchange on Tuesday, blaming “the present tumultuous situation in the financial markets” for the cancellation.
Company has few film interests left, but owns a key stake in Television Broadcasts, Hong Kong’s leading TV firm and one of the world’s biggest owners of Chinese content.
Shaw has been in protracted talks to sell his 75% interest in Shaw Brothers and has been actively negotiating with Chinese businessman Yeung Kwok-keung since May.
It appears now that Yeung has been unable to secure the HK$5 billion-$7 billion ($644 million-$902 million) bank financing necessary as shares in his property development company Country Gardens Holdings have tumbled.
Sale collapse is the second high-profile deal in four days to have been called off in the territory. Local telco giant PCCW announced Sunday a “discontinuation of the auction process” for its media assets, HKT Group Holdings.