HK Stock Market Move | BIDU-SW (09888) rose over 4% in early trading. The company has applied to convert to a dual primary listing and is expected to enter the Stock Connect program subsequently.

BIDU-SW (09888) rose over 4% in early trading, and as of the time of this report, it has increased by 3.78% to HKD 109.9, with a trading volume of HKD 406 million. In terms of news, Baidu Group has applied to the Hong Kong Stock Exchange to convert its listing status from a secondary listing to a dual primary listing, which was acknowledged and confirmed on July 22, with an effective date expected within this year. Guosheng believes that considering the company has met the core inclusion requirements for the Hong Kong Stock Connect regarding market capitalization and components of the comprehensive index, it is expected to be included in the Hong Kong Stock Connect targets, thereby enhancing liquidity and expanding the investor base. In addition, the supporting proposals disclosed by the company indicate that Baidu plans to hold an extraordinary general meeting to seek shareholder approval for several authorizations. One of the proposals is for share issuance authorization, allowing the board of directors to allocate and issue Class A ordinary shares or American Depositary Shares (ADS), with a maximum limit set at 20% of the total issued shares; the second is to establish a share buyback authorization, allowing the repurchase of no more than 10% of the total share capital.