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Friday, August 15, 2014

Alibaba film unit says found possible accounting irregularities; halts shares, (NASDAQ: BIDU)

A media firm Alibaba Group Holding Ltd recently bought said on Friday a review of its finances revealed possible accounting irregularities, casting doubts about the Chinese e-commerce giant's due-diligence as it prepares for a U.S. initial public offering.The announcement by Alibaba Pictures Group Ltd comes less than two months after Alibaba Group completed its $804 million purchase of a 60 percent stake in the film and TV production company once known as ChinaVision Media Group Ltd.The deal was among the $10 billion or so Alibaba Group and its affiliates have spent since the beginning of last year on acquisitions which ventured beyond its traditional e-commerce roots to fend off competition from rivals like Tencent Holdings Ltd, Baidu Inc and the speed at which the group has conducted some of its purchases has raised investors' concerns. In June, Alibaba bought China's most successful football club, the Guangzhou Evergrande, for $192 million in a deal which was hatched over a few drinks.

Baidu, Inc. (Baidu) is a Chinese-language Internet search provider. Shares of BIDU traded higher by 0.45% or $0.99/share to $219.58. In the past year, the shares have traded as low as $132.31 and as high as $229.60. On average, 3120030 shares of BIDU exchange hands on a given day and today's volume is recorded at 2361823.