HK Stock Market Move | SINOHYTEC(02402) opens high by more than 5%, hydrogen energy industry expected to receive policy support, the company recently announced the acquisition of Xuyang Hydrogen Energy.

SINOHYTEC (02402) opened more than 5% higher, and as of the time of drafting, it has risen by 5.52% to 27.7 Hong Kong dollars, with a transaction amount of 1.1135 million Hong Kong dollars. On the news front, according to Securities Times, during the National Two Sessions in 2025, National People's Congress representative and Chairman of Beijing SINOHYTEC Technology Co., Ltd., Zhang Guoqiang, proposed suggestions for sustainable development of the hydrogen energy industry from five aspects. In addition, Xue Jiping, Chairman of Jiangsu Zhongtian Technology Group Co., Ltd., pointed out that hydrogen energy is still in the early stage of development and suggested promptly introducing connecting policies; Zhang Tianren, Chairman of Tieneng Holding Group, suggested optimizing hydrogen energy industry policies to promote high-quality development of the industry. Furthermore, SINOHYTEC recently announced plans to acquire 100% equity of Xuyang from Xuyang Group through the issuance of its A shares and raise matching funds. Sinolink stated that by integrating Xuyang's hydrogen energy, SINOHYTEC can secure a low-cost hydrogen source and address the core pain point of high hydrogen costs in fuel cell vehicles; at the same time, with the help of Xuyang's hydrogen energy supply base network, it can strengthen the layout of hydrogen refueling stations in demonstration city clusters such as Beijing-Tianjin-Hebei and Sichuan-Chongqing, forming a production and sales synergy with existing customers. The bank pointed out that although SINOHYTEC's short-term performance is under pressure, if the acquisition can achieve a 20%-30% decrease in hydrogen production costs, its fuel cell system gross profit margin is expected to increase, and the loss in 2025 may significantly narrow.