Shaw shares up on privatization talk

TVB owner to privatize listed unit at HK$13.35 a share

BANGKOK -- Shares of Hong Kong entertainment conglomerate Shaw Brothers shot up 55.5% on Tuesday, a day after founder and movie mogul Run Run Shaw announced plans to take the company private.

The Shaw shares' rise to HK$12.64 ($1.63) in early trading Tuesday bucked the Hong Kong market's downward trend and marked a record single-day percentage gain for the company, the majority shareholder in Hong Kong's largest broadcaster, Television Broadcasts Ltd.

Earlier this year, Shaw Brothers called off a sale of its TVB assets -- planned since May -- citing tumultuous financial markets.

The centenarian Shaw said Monday that he will privatize the company at HK$13.35 ($1.72) a share.

Reuters contributed to this report.