RUIFENG POWER (02025) experienced a sharp decline of more than 22%. As of the time of writing, the stock was down 22.35%, trading at HK$15.53, with a turnover of HK$9.7024 million.
The drop follows a recent announcement from the Hong Kong Securities and Futures Commission (SFC), which disclosed the results of an inquiry into the company's shareholding distribution. The SFC noted that the ownership is highly concentrated among a small number of shareholders. It warned that this concentration means even a small volume of trades could lead to significant price volatility. The regulator advised shareholders and potential investors to exercise caution when dealing in the company's shares.
According to the inquiry's findings, as of February 24, a total of 22 shareholders and their associates held 149 million shares, representing 18.52% of the company's issued share capital. This stake, combined with the 573 million shares held by one controlling shareholder and three major shareholders, which account for 71.58% of the issued share capital, brings the total to 90.1% of the company's issued shares. Consequently, only 79.1657 million shares, or 9.9% of the issued capital, are held by other investors.
On the evening of March 9, RUIFENG POWER issued an announcement in response. The company stated that the shareholders holding the remaining 227 million shares, representing approximately 28.42% of the issued shares as of February 24, 2026, are independent third parties. These shareholders are not associated with Dragon Leap Ventures Limited, Shining Journey Holdings Limited, Hong Xie Enterprises Limited, or Mao Yang Limited, nor are they connected to the company or its related parties. The board of directors has resolved to take appropriate steps to verify the matters mentioned in the SFC's announcement. Furthermore, the company plans to encourage option grantees and award recipients to exercise their options and share awards to help reduce the concentration of share ownership.
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