TOM Group, whose shares surged as much as 55 percent on hopes of closer ties between the two firms, added after the morning session that it explored investment opportunities and other commercial alliances from time to time.
HONG KONG (Reuters) - Media services firm TOM Group <2383.HK> said on Monday it had not invested in Facebook after a report saying its major shareholder Li Ka-shing had invested in the social network helped push its shares 48 percent higher.
TOM Group, whose shares surged as much as 55 percent on hopes of closer ties between the two firms, added after the morning session that it explored investment opportunities and other commercial alliances from time to time.
The stock jumped to a high of HK$0.93 before ending the morning at HK$0.89, up 48 percent, easily outpacing a 0.9 percent gain in the benchmark Hang Seng Index <.HSI>.
The All Things Digital blog, owned by Wall Street Journal publisher Dow Jones & Co. <DJ.N>, said on Friday that Li had invested $60 million in the fast-growing social network Facebook.
!ADVERTISEMENT!"There is speculation that Li's investment could translate into closer ties or a partnership between TOM and Facebook," an analyst with a U.S. investment bank said.
"But I believe, it's too early to talk about any co-operations," she said.
Li is making the investment through a separate entity from the companies he controls, which include Cheung Kong Holdings Ltd <0001.HK> and Hutchison Whampoa Ltd <0013.HK>, the All Things Digital blog said.
Li also had an option to invest an additional $60 million, it quoted sources with knowledge of the deal as saying.
TOM Group said in a statement it was not aware of any reasons for the increase in its share price and trading volume.
Representatives from the Li Ka-shing Foundation and Hutchison Whampoa declined comment.
Facebook officials were not immediately available.
(Reporting by Alison Leung; Editing by Anne Marie Roantree)
