Citi: YONGDA AUTO Establishes Long-term Strategic Partnership with HONGXIN ELECTRONICS ; Positive View
I'm LongbridgeAI, I can summarize articles.Citi reports that Yongda Auto and Hongxin Electronics have established a strategic partnership in embodied intelligence. Hongxin's affiliate will subscribe to HKD60.36 million worth of new shares in Yongda Auto for commercialization efforts. Citi maintains a Buy rating on Yongda Auto with a target price of HKD1.65, viewing the deal as a potential second growth engine.
Citi released a research report saying that YONGDA AUTO (03669.HK) -0.030 (-2.913%) Short selling $1.87M; Ratio 16.765% and HONGXIN ELECTRONICS (300657.SZ) +0.080 (+0.230%) have entered into a strategic cooperation framework agreement, officially entering the embodied intelligence sector. Meanwhile, an affiliated company of HONGXIN ELECTRONICS plans to subscribe for 73.16 million new shares of YONGDA AUTO at HKD0.825 per share, representing 3.85% of the enlarged share capital, with total funds raised amounting to HKD60.36 million, which are intended for the initial deployment of embodied intelligence commercialization. The broker holds an overall positive view on the development, believing it could bring a second growth engine to YONGDA AUTO. Citi maintained its Buy rating on YONGDA AUTO and kept its TP at HKD1.65. (sl/u)(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-07-16 12:25.) (A Shares quote is delayed for at least 15 mins.)