China Longyuan (00916) rose nearly 5% in morning trading, up 4.51% to HK$8.11 with a turnover of HK$272 million at the time of publication.
According to the Smartkarma APP, China Longyuan (00916) rose nearly 5% in morning trading, up 4.51% to HK$8.11 with a turnover of HK$272 million at the time of publication.
On the news front, China Longyuan announced at the end of May that Mr. Gong Yufei resigned as the general manager and Mr. Wang Liqiang takes over the position. Gong Yufei, the former general manager, was nominated as the director. HSBC said both had previously held different positions in China Energy Group, the major shareholder of Longyuan Electric Power, and Shenhua Group. The market seems to believe that this management change can promote the plan to inject renewable energy assets into its parent company.
HSBC pointed out in its research report that China Longyuan has four catalysts worth noting, including subsidy settlement, green certificates, dividend in the first half of 2024, and asset injection. Previously, Morgan Stanley stated that Longyuan upgraded its old wind power projects to new wind power generation units. After the upgrade, the internal rate of return of the wind power projects is expected to increase by more than 1.5%.