SHANGHAI (Reuters) – China’s largest state-backed semiconductor fund plans to reduce its holdings in two listed technology companies, a decision that comes following a torrid bull run in China’s stock market.
The bull run, encouraged by state media, has been fueled by signs of an early economic recovery for China from the coronavirus, capital market reforms and accelerating inflows of foreign funds.
Sanan Optoelectronics Co Ltd (600703.SS) said in a filing on Tuesday that China Integrated Circuit Industry Investment Fund, also known as the ‘Big Fund’, reduced its ownership in the company by one percentage point to 9.29%, selling 44.793 million shares between July 8 and July 10.
The stake reduction is part of a previously announced plan to cut holdings by 2% by Jan. 4, 2021, according to the statement.
NAURA Technology Group Co Ltd (002371.SZ) also said in a filing that the ‘Big Fund’