Movement Alert|CFMEE Falls 7% in Regular Trading, Over-Allotment Shares Listing Triggers Selling Pressure

Market Focus07-16

On July 16, CFMEE (09630.HK) fell 7% in regular trading, trading at HK$360.8/share, with turnover of HK$8.71 million.

On the news front, the company fully exercised its over-allotment option on July 15, issuing and allotting 1.9258 million new H-shares at HK$252.73 per share, raising approximately HK$487 million. The newly issued shares commenced trading on July 15, representing a 15% increase in previously issued share capital, expanding total issued shares from 12.84 million to 14.76 million.

The significant dilution effect, combined with the concentrated listing of over-allotment shares, has intensified short-term supply pressure. CFMEE H-shares have been retreating from their first-day high since the June 26 IPO debut, when shares surged nearly 74% above the offering price. Norges Bank was also reported to have reduced its position by 170,000 shares in early July, further reflecting institutional selling momentum in the stock.

(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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