Zhongheng Group plans to launch its fourth round of share buybacks, all of which will be used for cancellation.

The Shanghai Securities News China Securities Network reported that on the evening of July 7, Zhongheng Group released a new round of share repurchase plan. The company plans to repurchase its shares by way of centralized bidding. The repurchase amount will be no less than 100 million yuan (inclusive) and no more than 200 million yuan (inclusive), and the repurchase price will be no more than 3.04 yuan per share. Based on the upper limit of the repurchase amount, the estimated number of shares to be repurchased is about 65.7895 million shares, accounting for 2.07% of the company’s current total share capital. All repurchased shares will be used for cancellation and will correspondingly reduce the company’s registered capital. The implementation period for this repurchase is within 6 months from the date on which the shareholders’ meeting approves the share repurchase plan.

Share repurchase and cancellation can boost the stock price and increase shareholders’ returns, directly affecting each investor’s immediate interests. The company uses its own funds to repurchase shares and cancel them; after the share capital is reduced, the value per share increases accordingly, providing a backstop for the stock price.

The scale and purpose arrangements of Zhongheng Group’s repurchase plan this time are at a medium-to-upper level in the market. It is a major initiative to carry out market value management under the guidance of the new “Nine Articles” policy. Previously, Zhongheng Group completed three rounds of share repurchase and cancellation in 2019, 2024, and 2025, totaling 29094.4077 million shares, and the total repurchase amount had reached 7.30 billion yuan. Through repurchases backed by real money, it is enough to demonstrate the company’s and management’s confidence in future development prospects and intrinsic value. (Zhang Hao)