Hua Hong Semi (01347) saw a sharp rebound, climbing nearly 7% in today's trading session. At the time of writing, the stock was up 6.25% to HK$8.25, with a turnover of HK$771 million. The rally follows news that the Shanghai Stock Exchange has accepted the company's application for its acquisition of HLMC. This marks a key milestone, indicating the asset injection process has entered a substantive review phase, with subsequent procedures expected to advance in an orderly and steady manner. By integrating HLMC, Hua Hong Semi has effectively addressed overlapping competition with other entities under its controlling shareholder in the 65/55nm and 40nm process platforms. This move optimizes the company's governance structure and operational independence, aligning with regulatory requirements and market expectations. Separately, Hua Hong Semi plans to change its name to "Hua Hong Hongli Semiconductor Limited." The proposed rebranding aims to align the company’s name with that of its main operating subsidiary, unifying the corporate brand and better reflecting the group's identity. The board believes the name change will support future business growth and serve the best interests of the company and its shareholders.
Comments