Hanny Holdings has made a provision of more than HK$100 million for the diminishing value of its 18 per cent stake in Internet newspaper operator HK Cyber, says chief financial officer Richard Lui Siu-tsuen. The amount was part of a HK$216 million provision which it made for the loss on its technology-related investments in the three months to December 31. Last year, its earnings jumped more than five-fold from a year earlier to HK$258.31 million. Hanny's share price fell 1.14 per cent yesterday to 17.3 HK cents. HK Cyber, which provides online daily news and horse racing information, was listed on the Growth Enterprise Market (GEM) last July. The counter's share price finished at 5.5 HK cents yesterday, down 8.33 per cent. Its initial public offering price was 68 HK cents. Mr Lui said Hanny had yet to decide on a further provision for the share price fall after December in the year to March 31. However, he said Hanny would monitor possible management changes at HK Cyber, as its cash-strapped parents Skynet (International Group) Holdings and Companion Building Material (Holdings) announced last week they might sell control of the parents to an independent party. Mr Lui declined to specify other Internet-related investments involved in the provisions. Except HK Cyber, Hanny also owns 22 per cent of GEM-listed entertainment portal operator Stareastnet.com and minority stakes in two Taiwan-based broadband firms UPM Group and Eastern Broadband Telecom. Mr Lui said the company would slow down the pace of its Internet-related investment strategy and refocus on its principal storage media business. Senior executive vice-president Eugene Kuo expected this year the global market share of its recordable compact disc (CD-R) products would grow from 11 per cent to 15 per cent. Meanwhile, Mr Lui announced yesterday the company would sell a combined 14.9 per cent stake in 76.25 per cent-owned subsidiary Memtek International to two independent parties, gaining net proceeds of HK$160 million. Memtek holds the firm's sales and distribution network for products such as floppy disks, CD-R and rewritable compact discs under the Memorex brand. The disposal was proposed after a one-for-two rights issue last month in which the company amassed HK$334 million for repaying debts and use as general working capital.