HK Stock Market Move | VSTECS(00856) rises over 12% hitting a new high, storage products have entered the supply chain of major companies like Alibaba.

VSTECS (00856) rose over 12% in the morning session, reaching a high of 12.36 Hong Kong dollars, setting a new historical high. As of the time of this report, the stock has risen by 12.88%, trading at 12.36 Hong Kong dollars. In terms of news, according to Toyou Feiji Electronics, on May 22, Toyou Feiji Electronics and VSTECS jointly held a "Domestic Storage Partner Cooperation and Innovation Conference" in Guangzhou. The conference focused on the development opportunities of enterprise storage under the drive of AI large models, and discussed the strategies for developing the domestic storage market. Toyou Feiji Electronics stated during an investor Q&A session on the interactive platform that VSTECS is an important partner in the company's channel sales field. Following this collaboration agreement, the company officially designated VSTECS as the national sales agent. At the annual performance meeting in March of this year, VSTECS Chairman and CEO Li Jialin stated: "Our main product in the storage field is hard drives. Currently, the market is in short supply, there is no need for price wars, and the gross profit margin is high. More importantly, this opens up the To B market for us. Previously, our storage products mainly targeted To C, and it was difficult to enter the supply chains of large factories in the To B sector due to long testing periods. The market shortage has actually allowed us to enter Alibaba, Tencent, and Kuaishou in the past two to three months. It can be said that the price increase has helped us expand our customer base significantly."