LeEco's listed arm set to resume trading

Leshi Internet Information& Technology Corp, the listed arm of debt-laden internet conglomerate LeEco, is expected to resume trading this week, but experts say its stock price will inevitably plummet and its profitability remains worrisome.

The company said on Friday it has suspended the planned purchase of Le Vision Pictures, a filmmaking arm of LeEco, and will hold a briefing on Tuesday related to the termination of a reorganization of the company's major assets and operating situation.

Leshi said in its statement that it expects a net loss in 2017. The company also identified potential risks, such as the change of actual controllers, tight cash flow due to LeEco founder Jia Yueting and his sister Jia Yuefang failing to fulfill loan commitments as well as a sharp decline and great uncertainty in the company's performance.