Two Major State-Owned Enterprises Announce Increased Holdings in Chinese Equities

Deep News07-19 22:41

Two major state-owned investment entities have declared significant purchases of Chinese stock assets, signaling a firm commitment to market stability.

China Reform Holdings Corp., Ltd., through its subsidiary Guoxin Investment Co., Ltd., has already utilized over 50 billion yuan from special relending facilities for share buybacks and holdings, along with supporting funds, to uphold market stability. The firm plans to continue leveraging this policy tool effectively and will supplement these efforts with its own capital to further increase holdings in central state-owned enterprise stocks. The objective is to resolutely safeguard the strategic value of core capital market assets and ensure the steady and healthy operation of financial markets.

Separately, China Chengtong Holdings Group Ltd. and its affiliated entities, Chengtong Capital and Chengyang Investment, have concentrated their efforts on substantial purchases of state-owned and central enterprise stock assets, accumulating purchases nearing 10 billion yuan. China Chengtong has expressed strong confidence in the prospects of the Chinese economy and its capital markets. The group intends to continue deploying its own funds alongside relending facilities designated for share buybacks and holdings to make further large-scale investments in the stocks and exchange-traded funds (ETFs) of state-owned enterprises, central enterprises, and technology companies. This initiative is part of a comprehensive effort to support the stable functioning of the capital markets.

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