XFML ties us in knots

My colleague Mark Cochrane has been struggling manfully for the past two weeks or so to keep up with the twists and turns of developments of Xinhua Finance and its NASDAQ-listed subsidiary Xinhua Finance Media. Friday, we decided to push ahead and publish the report on which he'd been working for our Asia Business Media Tracker service. I think he's done a great job on untangling the rather complicated web of events and businesses.

Inevitably, however, Saturday's FT sees a report of a major new development there: the sale of the Glass Lewis shareholder advisory firm for $46 million. The report notes that the company bought Glass Lewis just a few months ago for $45 million. I fear that the $1 million 'profit' will just about cover the transaction costs...if they're lucky.

XFL Founder and CEO Fredy Bush is quoted as saying “We believe this transaction is in the best interests of both Xinhua Finance’s shareholders as well as Glass Lewis employees and clients.” I'm sure they'll feel happy to see that water flowing under the bridge and get on with running what is, in my opinion, one of the best business information operations in the region.