HUA HONG SEMI (01347) surged more than 4% in afternoon trading. As of the time of writing, the stock was up 4.44%, trading at HKD 97.7, with a turnover of HKD 2.157 billion.
The movement follows the release of TSMC's fourth-quarter financial results. The report revealed that, driven by robust demand for AI chips, TSMC's fourth-quarter profit grew by 35%, exceeding expectations and hitting a new record high; this also marks the eighth consecutive quarter of year-on-year profit growth for the chipmaker.
During the quarter, advanced chips with process nodes of 7-nanometer or smaller accounted for 77% of TSMC's total wafer revenue.
TSMC forecasts its capital expenditure for 2026 to be between $52 billion and $56 billion, while its total capital expenditure for 2025 is projected at $40.9 billion.
Notably, HUA HONG SEMI recently announced its intention to acquire approximately 97.5% equity in HLMC for a transaction value of RMB 8.268 billion.
Following the integration, the company's market share in the global foundry sector is expected to increase further, potentially enhancing its supply capabilities in specialized process technologies.
Concurrently, the fundraising is anticipated to help the company advance production line upgrades, further expand capacity, and boost its R&D capabilities.
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