STOCKWATCH: Next Media sharply higher on talk of Jimmy Lai stake sale

HONG KONG (AFX-ASIA) - Next Media Ltd shares were sharply higher in afternoon trade on market speculation that majority shareholder Jimmy Lai will sell his stake in the company, dealers said.	    They said the move to dispose of Lai's stake is expected to benefit Next Media's China development plan since Lai's companies have long faced difficulties in operating in China due to his strong criticism about the authorities there.	    At 3:19 pm, Next Media was up 0.11 hkd or 50.0 pct at 0.33 on volume of 74.2 mln shares.	    The Hang Seng index was up 68.55 points at 13,318.10 on turnover of 5.66 bln hkd.	    "To my knowledge, a Chinese party has expressed interest in acquire Lai's stake," an analyst with a local brokerage.	    The analyst said another potential buyer is said to be the Kuok family, who own the South China Morning Post. 	     Currently, Lai holds a 54.6 pct stake in Next Media.	    "Apart from Next Media, I think Lai will also sell Apple Daily and Next Media International to the same buyer. Lai is expected to secure funds for his expansion plan outside Hong Kong," the analyst said.	    Lai has taken over Taiwan's Internet newspaper Tomorrow Times and is expected to begin to publish a magazine in Taiwan in summer.	    The analyst said he expects the buyer will inject the profitable Apple Daily and Next Media International into Next Media.	    "Investors are upbeat about the huge market in China," the analyst said.	    SCMP fell 0.05 to 5.00 hkd 

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