The value of the shares of comedy stage show and film firm Beijing Fun Age Entertainment Co Ltd. has increased by 44 times after it was unveiled during the third national equity exchange in China last month.

Nearly 2.9 million shares were sold at 106 yuan ($16) and they were purchased via private placement by about 11 investment firms and other individual investors, according to Fun Age Entertainment's statement.

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In January, Chairman Zhang Chen of Fun Age Entertainment purchased 1.52 million shares in the business worth 2.4 yuan per share via a private placement. Following a second private placement, the company's worth is estimated to be 5 billion yuan - a significant increase from last month's 107 million yuan.

The National Equities Exchange and Quotations (otherwise known as the New Third Board) is the third national equity exchange in China and has gained popularity among micro-, small- and medium-sized enterprises. According to Beijing-based JD Capital's investment manager Liu Achang, the high jump in the value of Fun Age Entertainment's shares is not strange as "the New Third Board is market-oriented."

He revealed that New Third Board investors comprise professional institutions and members, and their trading has become more mature. All its qualified investors have investable funds of over 5 million yuan.

According to 29-year-old investor Wang Cheng, who has been a stakeholder in the New Third Board for two years, even though Fun Age Entertainment's two placements are not the same, there is still strong interest from investors in the firm.

The company's first comedy film was Goodbye Mr Loser. Despite the fact that it had no big names and most of the lead stars were only appearing on screen for the first time, it managed to bag over 590 million yuan at the box office during the National Day Holiday in 2015.

However, Wang revealed that the New Third Board's biggest problems has to do with liquidity and premature exits by investors. He also revealed that investor threshold is high and trading is not as active as anticipated. "If participants cannot exit, no new comers will come in," he explained.

TagsBeijing Fun Age Entertainment Co Ltd., china, Fun Age Entertainment, New Third Board