GF Securities Starts Henan Shijia Photons Technology at Buy with 30.54 Yuan Price Target

Henan Shijia Photons Technology said its industrial fund, Hongqi Optoelectronics, has signed a framework agreement to acquire a 53% stake in optical communication equipment maker Dongguan Fuke Xima Communications.

The company will buy the stake for 326 million yuan from Shenzhen Zhishang Technology, according to a Thursday filing with the Shanghai bourse.

The acquisition aims to bolster the company's MT ferrule supply chain and enhance its overall industry chain integration. MT ferrules are critical components used in fiber optic connectors.

Henan Shijia Photons Technology said its industrial fund, Hongqi Optoelectronics, has signed a framework agreement to acquire a 53% stake in optical communication equipment maker Dongguan Fuke Xima Communications.

The company will buy the stake for 326 million yuan from Shenzhen Zhishang Technology, according to a Thursday filing with the Shanghai bourse.

The acquisition aims to bolster the company's MT ferrule supply chain and enhance its overall industry chain integration. MT ferrules are critical components used in fiber optic connectors.

This article was automatically generated by Dow Jones using technology from Automated Insights.

Stocks in Greater China were mixed on Tuesday.

Hong Kong's Hang Seng Index fell 1.5% to 19383.53, and China's Shanghai Composite Index rose 0.7% to 3229.64. The Taiwan Taiex index rose 0.4% to 23651.27.

Among Hang Seng constituents, Semiconductor Manufacturing International Corp. was the biggest gainer during the session, gaining 4.7%, and Xinyi Solar Holdings Ltd. gained 3.8%. Li Ning Co. Ltd. rounded out the top three movers on Tuesday, as shares gained 2.9%.

Tencent Holdings Ltd. posted the largest decline among companies on the Hang Seng, dropping 7.5%, followed by shares of Xiaomi Corp., which dropped 7.2%. Shares of Wuxi Biologics (Cayman) Inc. fell 3.1%.

Among large mainland China stocks, Henan ShiJia Photons Technology Co. Ltd. A was the biggest gainer during the session, surging 17%, and Joulwatt Technology Co. Ltd. A surged 16%. Suzhou Recodeal Interconnect System Co. Ltd. A rounded out the top three movers on Tuesday, as shares surged 15%.

Qingdao Haier Biomedical Co. Ltd. A posted the largest decline, dropping 11%, followed by shares of Shanghai Jiaoda Onlly Co. Ltd. A, which dropped 10%. Shares of Shanghai Yimin Commercial Group Co. Ltd. dropped 10%.

In Taiwan, Ventec International Group Co. Ltd. was the biggest gainer among large companies during the session, surging 10%, and General Interface Solution (GIS) Holding Ltd. surged 10% EverFocus Electronics Corp. rounded out the top three movers, as shares surged 9.9%.

Loop Telecommunication International Inc. posted the largest decline, dropping 10%, followed by shares of Cub Elecparts Inc., which dropped 8.4%. Shares of TBI Motion Technology Co. Ltd. dropped 6.7%.

On the currency front, the onshore yuan weakened 0.1% against the U.S. dollar to CNY7.33 while the New Taiwan dollar strengthened 0.2% against the U.S. dollar at NT$32.72.

Data source: Dow Jones Market Data, FactSet