SINGAPORE (Mar 5): Sim Wong Hoo, chairman and CEO of Creative Technology, is convinced that his company has found the “holy grail” of headphone audio quality, and it will be his “gift to humanity”. In the past week, it has certainly been a gift to shareholders of the company.
In January, Creative introduced its Super X-Fi technology at the Consumer Electronics Show in Las Vegas, where it apparently garnered rave reviews. In the past week, that seemed to translate into frenzied trading of its shares in Singapore. On Feb 23, the stock suddenly shot up, rising as much as 163% to a high of $3.29 before closing at $2.96. That drew a query from the Singapore Exchange and triggered a circuit breaker that temporarily halted trading.
The stock has continued defying gravity since then. It closed on March 1 at $4.14. More than 16.2 million Creative shares have changed hands since Feb 23, which represents a third of its free float of 49.5 million shares. It has a total share base of 75.2 million shares.