Tue Feb 22， 2005 07：59 PM ET HONG KONG， Feb 23
（Reuters） - Telecommunication products maker Stone Group Holdings Ltd. （0409.HK： Quote， Profile， Research） said on Wednesday it would sell its entire holding of 2.50 million shares， or 4.96 percent， of Sina Corp. （SINA.O： Quote， Profile， Research） in the open market. Stone said the stake has been reclassified as a short-term investment following a change in Stone's investment strategy.
Shanda Interactive Entertainment Ltd. （SNDA.O： Quote， Profile， Research） ， China's top online game operator， said at the weekend that it had purchased a 19.5 percent stake in Sina， China's leading Internet media company.
Sina said on Tuesday that it was adopting "poison pill" measures to ward off hostile bidders by flooding the market with shares making it more difficult for outsiders to take control.
Ston said it planned to sell the Sina shares gradually on market to maximize profits.
The Hong Kong-listed company said total gross proceeds of US$73 million would be raised if all of its Sina shares were sold at US$29.17 each， the average closing price of Sina's shares on Nasdaq for six months to Feb. 18.
Sina shares gained 2.82 percent to end at US$28.42 on Tuesday.
The proceeds will be used for general working capital， it added. The book value of Sina shares in the company was about HK$625.74 million （US$80 million） as at the end of 2004.
Stone said it started to reduce its stake in Sina in February 2003， when its holding was 20.61 percent.