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Anhui Conch Details Valuation Behind Capital Increase at Ningbo Subsidiary

Story Highlights
  • Anhui Conch clarified the valuation basis for a capital increase at Ningbo Conch New Material, valuing the unit at RMB385 million.
  • The company disclosed key WACC and CAPM inputs to justify the RMB48.1255 million investment price and enhance transparency for investors.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Anhui Conch Details Valuation Behind Capital Increase at Ningbo Subsidiary

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Anhui Conch Material Technology Co. Ltd. Class H ( (HK:2560) ) has issued an announcement.

Anhui Conch Material Technology has issued a supplemental announcement detailing the valuation methodology behind a capital increase and share expansion at its subsidiary, Ningbo Conch New Material. The company confirmed that an independent valuer used an income approach and a weighted average cost of capital model to derive a market value of RMB385 million for the subsidiary’s equity as of 30 November 2025.

Key quantitative inputs disclosed include a discount rate of 7.59%, based on an industry debt ratio of 0.3772, an equity ratio of 0.6228, and an after-tax debt cost of 2.63%. The cost of equity capital was set at 10.60% using the capital asset pricing model, with a 1.84% risk-free rate and a 9.42% expected market return, providing investors with greater transparency on pricing for the RMB48.1255 million capital injection.

More about Anhui Conch Material Technology Co. Ltd. Class H

Anhui Conch Material Technology Co., Ltd. is a China-based materials company listed in Hong Kong, focusing on new materials through its subsidiaries. The group operates in the broader construction and industrial materials segment, with Ningbo Conch New Material positioned as a key platform for growth in advanced materials.

Average Trading Volume: 130,581

Technical Sentiment Signal: Strong Buy

Current Market Cap: HK$1.04B

See more data about 2560 stock on TipRanks’ Stock Analysis page.

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