Pop Mart International Group's stock surged 5.79% in intraday trading on Friday, amid speculation that the toymaker could be added to the Hang Seng Index.
According to a Bloomberg report, the Hang Seng Indexes Co., which compiles the benchmark index, is aiming to boost the number of constituents to 100 from the current 82. Analysts believe that Pop Mart, along with Kuaishou Technology and Akeso Inc., are potential candidates for inclusion in the upcoming quarterly review.
The potential addition of Pop Mart to the Hang Seng Index would be a significant achievement for the company, which has seen its stock soar more than 280% this year, fueled by Chinese consumers' robust appetite for its popular pop toys. Inclusion in the index would likely increase institutional ownership and trading volume for Pop Mart's shares.
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