AMTD Digital Stock Tumbles 36% in Morning Trading

AMTD Digital Stock Tumbles 36% in Morning Trading.

Hong Kong Billionaire's Conglomerate Distances Itself From AMTD Digital's Stock Frenzy.

A conglomerate controlled by one of Hong Kong's richest men said it was in talks to sell its stake in AMTD Group, the parent of retail stock sensation AMTD Digital .

CK Group, which is backed by billionaire Li Ka-shing, said it currently holds less than 4% of AMTD Group, after selling most of its stake nearly a decade ago. A CK unit and the Commonwealth Bank of Australia founded AMTD Group in January 2003.

Privately held AMTD Group controls New York-listed AMTD Idea Group, which in turn owns most of AMTD Digital, a little-known Asian fintech company. The latter's American depositary shares skyrocketed this week to a high of $2,555.30, and closed Wednesday at $1,100--still massively above their IPO price of $7.80.

It remains unclear what propelled the stock move.

CK Group said it doesn't hold shares in AMTD Digital, and that it "has no business dealings with the company." It also said it isn't involved in the operations or business plans of AMTD Group.