Start Group

*ST Shida has been placed under investigation by the China Securities Regulatory Commission for suspected illegal information disclosure in its 2023 semi-annual report. This week, all three major A-share indices closed higher, with the Shanghai Composite Index up 2.81 percent, the Shenzhen Component Index up 5.39 percent, and the ChiNext Index up 6.55 percent. In terms of individual stocks, over 3,900 stocks rose this week, with 122 stocks gaining 30 percent or more. The top gainer was Xintian Technology, which surged 97.81 percent. According to the Dragon and Tiger list, institutional seats made net purchases of 77 stocks this week, with Shengyi Technology topping the list with net institutional buying of 1.459 billion yuan. In addition, China Rare Earth disclosed a 46.53 percent year-on-year increase in net profit for the first half of 2026.

Star-Tech Development has received a notice of investigation from the China Securities Regulatory Commission over alleged illegal information disclosure in its 2023 semi-annual report. The company stated that this investigation only concerns matters related to the 2023 semi-annual report and does not involve other years, and that its current operations are normal. Previously, the company's stock was placed under delisting risk warning starting April 30. If its 2026 financial indicators trigger relevant conditions, the stock will be delisted. The company expects a net loss attributable to shareholders of 25 million to 37.5 million yuan in the first half of 2026, narrowing the loss by 32.44% to 54.96% year-on-year.

*ST Shida announced that the company has received a case filing notice from the China Securities Regulatory Commission. The CSRC has decided to open an investigation into the company due to suspected illegal and non-compliant information disclosure in its 2023 half-year report. This investigation does not involve other fiscal years. The company's operations remain normal, and it will actively cooperate with the investigation and fulfill its information disclosure obligations.

On August 7, four A-share companies—Quanwei Technology, Tianji Holdings, New Power, and Woge Optoelectronics—disclosed on the same day that they had received penalty notices from securities regulators, with total fines amounting to 64.55 million yuan. Quanwei Technology was fined 30.7 million yuan for failing to disclose related-party transactions and the seizure of major assets as required, with the company and four responsible individuals penalized. Tianji Holdings was fined 5.55 million yuan because financial fraud at a subsidiary led to false records in its 2023 annual report, with the company and four responsible individuals penalized. New Power is suspected of failing to disclose related-party transactions, resulting in material omissions in its periodic reports, and faces proposed fines totaling 25.8 million yuan for the company and five responsible individuals. Woge Optoelectronics' actual controller and a shareholder holding more than 5 percent, along with related parties, face proposed fines totaling 2.5 million yuan for false records in share transfer information disclosures. On the same day, Aerospace Hongtu and its actual controller Wang Yuxiang were placed under investigation by the China Securities Regulatory Commission for suspected illegal information disclosure, and Star Group was also placed under investigation for suspected illegal information disclosure in its 2023 semi-annual report.