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Kingsoft (SEHK:3888) has renewed its partnership with Xiaomi, signing a six-year lease with Beijing Duokan. Despite a recent 5.98% share price increase, the stock has seen a 6.12% decline over the past year. Analysts suggest Kingsoft is undervalued, with a fair value of HK$40.87 per share, driven by growth in AI-enhanced office products. However, concerns remain about the gaming business and cash conversion. A DCF analysis indicates a fair value of HK$83.28, but the current P/E ratio of 25x suggests valuation risks if market sentiment shifts. Investors are encouraged to explore other tech opportunities.
Kingsoft Corporation has renewed its three-year connected transaction framework with Xiaomi Group, extending the agreement to December 31, 2028. The deal formalizes ongoing transactions, with Kingsoft providing services like promotion and game operations on Xiaomi's platforms, while Xiaomi offers promotional and ancillary services. As Lei Jun, a substantial shareholder, is associated with Xiaomi, the deal is classified as a connected transaction under Hong Kong rules, exempting it from independent shareholder approval. The renewal highlights the long-term partnership between the two companies. The current analyst rating for Kingsoft stock is a Hold with a price target of HK$30.00.
Kingsoft Corporation Limited has signed a lease agreement with Beijing Duokan Technology Co., Ltd., a Xiaomi affiliate. The agreement involves leasing premises with rent based on actual use, payable every six months. Lessees must pre-pay rent and provide a security deposit equivalent to one month’s rent. The lease also includes parking lot rent provisions. This announcement was published via the Hong Kong Stock Exchange.
Kingsoft's subsidiary, BKOS, has granted 669,000 restricted shares to core employees as part of its 2025 incentive scheme. This announcement was published by Kingsoft Corporation Limited through the Hong Kong Stock Exchange.
Xishanju announced executive changes, CEO Guo Weiwei resigned due to personal career planning but will continue to serve as Chief Producer. KINGSOFT CEO and Xishanju Chairman Zou Tao has been appointed as the acting CEO
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