China Stocks: Chaori, China Shipbuilding, Neusoft, Sinopec
Shares of the following companies had unusual moves in China trading. Stock symbols are in parentheses and prices are as of the 3 p.m. close.
The Shanghai Composite Index fell 0.1 percent to 3,021.37. The CSI 300 Index (SHSZ300) dropped 0.2 percent to 3,326.77.
Power generators: Huaneng Power International Inc. (600011) (600011 CH), the listed unit of the nation’s largest power producer, increased 7.2 percent to 6.10 yuan on speculation that the country will increase electricity prices. China Yangtze Power Co. (600900 CH) gained 2.5 percent to 8.34 yuan.
“Chinese power stocks are surging as there is speculation the government will raise on-grid electricity prices and the announcement is due within days,” Peter Yao, a power analyst with Bank of China International Holdings Ltd., said by telephone from Hong Kong today.
Software companies: Shandong Inspur Software Co. (600756 CH) jumped by the 10 percent daily limit to 15.80 yuan. Neusoft Corp. (600718) (600718 CH) gained 3.9 percent to 14.15 yuan.
The government may introduce measures to support cloud computing companies this year, Shanghai Securities News reported today. Cloud computing allows people to store data on remote servers that can be accessed via the Internet.
China Petroleum & Chemical Corp. (386) (600028 CH), Asia’s largest oil refiner, climbed 0.9 percent to 8.86 yuan. The company started a crude distillation unit at its Tianjin refinery last week after reconfiguring it to process condensate to produce more ethylene feedstock, its parent said. The unit, built in 1976, will process 1.3 million metric tons of condensate a year, China Petrochemical Corp. said in its company newsletter today.
China Shipbuilding Industry Co. (601989 CH) surged 5.1 percent to 13.86 yuan as the stock resumed trade following a four-week suspension. The company plans to raise as much as 12.5 billion yuan ($1.9 billion) via the private placement of as many as 1 billion shares, according to a statement to Shanghai’s stock exchange. The company will sell the shares at no less than 12.44 yuan each in the placement.
Foshan Electrical and Lighting Co. (000541 CH), a Chinese electro-optical product maker, added 2.1 percent, the biggest increase since March 18, to 15.20 yuan. The company will set up a joint venture to make lithium batteries with Hefei Guoxuan High-Tech Power Energy Co. The two companies will invest as much as 261 million yuan in the venture, Foshan Electric said in a filing to the Shenzhen stock exchange.
Shanghai Chaori Solar Energy Science & Technology Co. (002506 CH) advanced 4.5 percent to 49.70 yuan, the biggest gain since Jan. 12, after Shenyin & Wanguo Securities Co. rated the company “outperform” in new coverage.
--Irene Shen, Michael Wei. Editor: Richard Frost
To contact Bloomberg News staff for this story: Irene Shen in Shanghai at +86-21-6104-3049 or firstname.lastname@example.org
To contact the editor responsible for this story: Reinie Booysen at email@example.com