Minhua Holdings (01999) surged over 4% in the afternoon trading session. As of press time, it rose by 4.31%, reaching HKD 5.08, with a trading volume of HKD 49.0869 million.
According to Zhitong Finance, Minhua Holdings (01999) surged over 4% in the afternoon trading session. As of press time, it rose by 4.31%, trading at HKD 5.08 with a turnover of HKD 49.0869 million.
In terms of news, in December last year, Minhua Holdings announced the acquisition of GRIC Group for approximately USD 58.7 million, which is mainly engaged in the manufacturing and trading of upholstered furniture in the United States. Yongxing Securities believes that after the completion of the deal, the target group’s cross-selling opportunities brought by its furniture retail distribution network of over 1,000 active customers, as well as cost-saving opportunities in raw material procurement and enhanced manufacturing efficiency, will create synergies between the target group and Minhua Holdings’ businesses.
The brokerage firm also noted that interest rate cuts may lead to signs of recovery in the U.S. real estate market, while the wealth effect driven by the rise in U.S. stocks has been relatively pronounced. Real estate demand is expected to be gradually released. After Minhua completes the acquisition, leveraging its brand and channels may promote the company’s business development in the North American region.
