Hong Kong Stock Movement | DZUG (01635) Opens Nearly 4% Higher as Shenzhen Unveils Major M&A Policies

Stock News10-23

According to reports, DZUG (01635) opened approximately 4% higher and was up 3.75% at HK$4.15 with a trading volume of HK$5.9179 million as of the time of writing. On October 22nd, Shenzhen announced its action plan to promote high-quality development of mergers and acquisitions with aims to enhance the quality of listed companies in the region by the end of 2027. The target is to surpass a total market capitalization of 20 trillion yuan for listed companies both domestic and overseas and to cultivate 20 enterprises with a market value of over 100 billion yuan. The merger and acquisition market is expected to see substantial growth, with over 200 projects completed cumulatively and a total transaction value exceeding 100 billion yuan, showcasing a number of industry benchmark cases. According to public information, DZUG invested in Shenzhen Innovation Investment Group Co., Ltd. (referred to as "Shenzhen Innovation") back in 2002, becoming its second-largest shareholder. Its semi-annual report shows that DZUG holds a 10.80% stake in Shenzhen Innovation. Additionally, the chairman of DZUG, Yang Guoping, also serves as the vice-chairman of Shenzhen Innovation. Recently, Mooleader has rapidly passed its approval. According to Qichacha, Shenzhen Innovation was the leading investor in Mooleader's Pre-A round in 2021 and continued to invest further in Yushutu Technology during its B and B+ rounds in 2022 and 2024, respectively.

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