Meituan Co-Founder Cashes Out US$44.3 Million as Chinese Stocks Surge
Meituan Co-Founder Makes Strategic Move
Meituan co-founder Mu Rongjun sold 2 million shares of his Hong Kong-listed company on Monday, realizing US$44.3 million. This sale occurred amid a significant rally in Chinese stocks, particularly benefiting Meituan.
Details of the Sale
Mu sold his shares at HK$171.8, reducing his ownership stake to 1.02 percent from 1.06 percent. His total net worth sits at US$3.4 billion, according to Forbes.
Meituan’s Recent Performance
- Shares of Meituan soared 3.3 percent to HK$211.8
- Stock prices have jumped over 240 percent since February
- The company reported a 21 percent year-on-year growth in revenue for Q2, reaching US$11.6 billion
- Profit increased by 142 percent to US$11 billion for the same quarter
Future Outlook
Meituan continues to position itself favorably within the tech landscape of China. The company launched a buy-back plan valued at up to US$2 billion, which will enhance shareholder value. Moreover, it has announced a bond issuance of US$2.5 billion.
The Impact of China Dragon ETF
A newly launched exchange-traded fund, dubbed China Dragon, tracking major Chinese tech stocks, recently entered the US stock market. This fund includes industry leaders such as Tencent Holdings, PDD Holdings, and Alibaba Group Holding.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.