Movement Alert|CICC Rises 3.15% in Regular Trading, Three-Way Merger Enters CSRC Review Stage

Market Focus08-05

On August 5, CICC rose 3.15% in regular trading, trading at HK$22.24/share, with turnover of HK$127 million. The stock gained momentum as the company's share-swap absorption merger with Dongxing Securities and Cinda Securities officially entered the core regulatory review phase.

On the news front, CICC's administrative permit application to absorb Dongxing Securities and Cinda Securities via share swap has been formally accepted by the China Securities Regulatory Commission (CSRC). Both Dongxing and Cinda recently disclosed their final independent semi-annual reports, with each posting first-half net profit exceeding RMB 1 billion. Combined with CICC's performance guidance, the projected \"New CICC\" entity is expected to achieve H1 net profit of RMB 9.83 billion to RMB 10.349 billion, representing a 59%-68% year-over-year increase, firmly positioning the merged group in the RMB 10 billion net profit tier.

Within the Investment Banking and Brokerage sector, China Galaxy Securities rose 3.39%, GF Securities gained 1.29%, and CITIC Securities advanced 1.26%.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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