HK Stock Market Move | Lingyi Itech (01688) surged more than 11% at the end of the session , the company plans to spend 4 billion to participate in the restructuring of Foton Jiaxing and enter the field of optical communication.

At the last minute Lingyi Itech (01688) quickly rose, with the stock price soaring more than 11%. As of the time of writing, it has risen 10.25% to 7.53 Hong Kong dollars, with a turnover of 2.89 billion Hong Kong dollars. In terms of news, Lingyi Itech plans to invest no more than 4 billion yuan in the restructuring investment of Futong Group, acquiring the control and operating rights of relevant assets of Futong Jiashan. It is reported that Futong Jiashan is one of the few core companies in China with complete self-developed and self-produced capabilities in "glass rod, optical fiber, and optical cable". In addition, the company acquired 35% equity in Liminda for 875 million yuan and obtained voting rights trust, with a total control of 52.78% voting rights. Liminda is a core supplier of AI server liquid cooling, has obtained NVIDIA AVL certification, and entered its top supply chain. Changjiang issued a research report stating that Lingyi Itech is deeply integrating into the core supply chain of global AI computing power with "hardcore physical layer hardware" as the focus. By absorbing high-quality restructuring assets (Futong Jiashan) and leading technology (Liminda), Lingyi has already established a moat in the AI computing power infrastructure track, and is expected to open up a highly explosive second growth curve beyond edge AI.