On July 6, Dajin Heavy Industry fell 5.66% in regular trading, trading at HK$53.5/share, with turnover of HK$1.7009 million. The stock has now declined approximately 19% from its IPO offer price of HK$66.40.
The decline is attributed to the conclusion of the IPO stabilization period on July 2, which removed price support previously provided by stabilization agent Huatai Financial Holdings. During the 30-day stabilization window, the agent purchased approximately 12.68 million H shares on the open market at prices ranging from HK$60.00 to HK$66.40 per share. With this backstop now withdrawn, accumulated selling pressure continues to be released.
The stock had already broken below its IPO price on the second trading day after listing on June 5. UBS Group AG conducted multiple rounds of stake reductions, including 832,200 shares on June 9 and 351,500 shares on June 24. Although the company's H shares were admitted to Stock Connect on July 3, northbound capital inflows have thus far been insufficient to offset post-stabilization selling.
(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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