As 2025 draws to a close, only 20 trading days remain before the latest review period for the Hong Kong Stock Connect adjustment concludes. This marks the final sprint for many stocks vying for inclusion. The next regular adjustment for the Hang Seng Index and Stock Connect is scheduled for March next year, with results announced on February 25. The review period spans from January 1 to December 31, 2025.
According to estimates, 31 stocks are expected to be newly included in the Stock Connect this round. Among them, GENFLEET-B (02595) stands out as a strong candidate, having met the inclusion threshold with an average daily market cap of HK$10.296 billion during the review period—surpassing the latest HK$9.242 billion requirement by a comfortable margin.
**Stable Post-IPO Performance Bolsters Inclusion Prospects** GENFLEET-B’s steady rebound after initial volatility has been pivotal. On September 18, its Phillip Dark Pool session opened sharply higher at HK$40.00, surged to HK$45.58 intraday, and settled at HK$41.22—a 102.16% gain—with turnover hitting HK$213 million. The next day, its market debut saw shares gap up to HK$44 (115.79% above IPO price), peaking at HK$50.20 before closing at HK$42.10 (+106.47%), with HK$1.553 billion traded and an 11.15% turnover rate.
However, amid a broader biotech sector pullback, the stock entered a month-long downtrend post-listing, sliding 29.31% from September 19 to October 23, with a maximum swing of 51.55%. Technical indicators showed heightened selling pressure on October 22 as the stock breached the lower Bollinger Band, but strong buying interest emerged the next day, driving a 12.22% rebound.
Since late October, GENFLEET-B has consolidated within a tight range, with 79.22% of筹码 concentrated between the 70%-90% cost zones. The average holding cost of HK$37—well above current levels—has discouraged selling, while overhead resistance from套牢筹码 has capped speculative rallies. This stability is critical for its Stock Connect bid.
**Navigating Market Cycles** GENFLEET-B’s record-breaking IPO—2662.79x retail oversubscription and 39.05x institutional demand—epitomized this year’s biotech bull run, which saw the Hang Seng Healthcare Index surge 119.59% by September. Yet its listing coincided with the sector’s peak, triggering a 30% October correction as sentiment cooled.
Key to its resilience was its IPO structure: - **No clawback mechanism**: The 10% public offering allocation (7.76 million shares) limited retail-driven volatility. - **Strong cornerstone backing**: Nine investors committed US$100 million (49.27% of issuance), with a 6-month lock-up stabilizing post-listing supply.
With November-December liquidity thinning to 0.52% and 0.38% respectively—meeting inclusion criteria while reducing volatility—GENFLEET-B appears well-positioned for a smooth Stock Connect entry.
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