Despite being burdened with over 23 billion yuan in debt, Leshi Internet (400084.NQ) has announced a new 180 million yuan stock investment plan, reigniting market attention five years after its delisting.
On the evening of December 2, Leshi Internet, now trading on the National Equities Exchange and Quotations (NEEQ), disclosed plans to allocate up to 180 million yuan of its own funds for securities investments. The scope includes subscribing to new shares on the Beijing Stock Exchange (BSE), freely traded secondary market stocks, and treasury bond reverse repurchases.
According to the announcement, at least 150 million yuan will be dedicated to BSE IPO subscriptions and treasury bond reverse repurchases, while the remaining 30 million yuan can be invested in secondary market stocks—with strict restrictions requiring at least 50% in bank stocks and 80% in CSI 300 index constituents.
This is not Leshi’s first stock investment plan this year. On April 28, the company had announced a 50 million yuan investment plan for similar securities. The latest plan marks a significant expansion, which Leshi attributes to "improving capital efficiency." The company pledged to enhance risk control through professional analysis but emphasized that investments would not disrupt core operations.
BSE IPOs have performed strongly this year, with all 24 new listings gaining on their debut, averaging a 253.18% surge. Notably, Dapeng Industrial skyrocketed 1,211.11% on its first day. Meanwhile, bank stocks (881155.TI) and the CSI 300 rose 12.81% and 15.15%, respectively, showing steady growth.
However, this ambitious plan contrasts sharply with Leshi’s dire financial state. As of September 2025, its total liabilities reached 23.009 billion yuan, while assets dwindled to just 862 million yuan, reflecting severe imbalance. The Q3 2025 report revealed worsening conditions: revenue fell 2.88% year-on-year to 115 million yuan, while net losses widened from 173 million yuan to 242 million yuan. The company’s debt-to-asset ratio stood at a staggering 2,667.83%, with negative equity of 21.545 billion yuan.
Beyond stock investments, Leshi has pursued external ventures. In April last year, its subsidiary planned to provide up to 100 million yuan in financial support to Beijing Wangdao Hamburger Co., a Burger King franchise operator in China. However, by April 2025, 6.8 million yuan had been provisioned as bad debt, with risks still looming.
Founded in November 2004, Leshi was once China’s only listed video-streaming platform, peaking at a 170 billion yuan market cap in 2015. Its downfall began in late 2016 with a liquidity crisis. In 2019, regulators investigated the company and its founder, Jia Yueting, for disclosure violations. Delisted in July 2020 at 0.18 yuan per share, Leshi now trades on the NEEQ with a 1.2 billion yuan market cap.
On November 20, 2025, Leshi disclosed it had no direct communication with Jia Yueting in recent years.
(Disclaimer: This content is for reference only and does not constitute investment advice. Investors assume all risks.)
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