Zhongnan Culture's "whale swallows" benchmark power plant, weekly gain exceeds 60%; Huapei Power's failed restructuring faces two consecutive limit-down days | Weekly bull and bear stock panorama

In the past week (March 9–13), the A-shares’ three major indices showed mixed performance. As of the close on March 13, the Shanghai Composite Index was at 4,095.45 points, down 0.70% for the week; the Shenzhen Component Index was at 14,280.78 points, up 0.76%; and the ChiNext Index was at 3,310.28 points, up 2.51%.

Specifically, more than 35% of stocks rose during the week, 104 stocks gained over 15%, and 30 stocks fell over 15%. According to Shenwan’s first-level industry classification, sectors such as coal, electrical equipment, construction decoration, utilities, and banking rose, while defense military, petroleum and petrochemicals, non-ferrous metals, media, and machinery equipment declined.

Which stocks led the gains? Which stocks declined the most? 21 Investment Pass will continue to provide weekly insights.

The Top Stock Zhongnan Culture “Swallows” a Benchmark Power Plant with Annual Revenue of 3 Billion Yuan, Up Over 60% This Week

Excluding recent IPOs within the last month, the top stock this week is Zhongnan Culture (002445.SZ), which surged 61.51%, followed by Hongjing Technology (301396.SZ) with a 60.65% increase. China Electric Power Energy (600726.SH), Zhongfu Shen Eagle (688295.SH), GCL Energy Science & Technology (002015.SZ), and Shouhang New Energy (301658.SZ) all gained over 40% this week. The top ten stocks in this list all increased by more than 33% over the past week.

The Top Stock Zhongnan Culture belongs to the Construction Machinery Industry:

The company was listed on the Shenzhen Stock Exchange in July 2010 and is the first domestic industrial metal pipe fittings company. Its main businesses are machinery manufacturing, cultural media, and new energy.

On the news front, on the evening of March 8, Zhongnan Culture announced a trading plan stating that the company plans to acquire a 57.30% stake in Jiangyin Sulong Thermal Power Co., Ltd. (hereinafter Sulong Thermal Power) and raise supporting funds, which is expected to constitute a major asset restructuring and related-party transaction.

Since February 13, Zhongnan Culture has been suspended from trading, planning to resume trading on March 9. As of the close on February 12, the stock price was 2.78 yuan per share, with a total market value of 6.607 billion yuan.

After the announcement, from March 9 to 13, in the first week of resumption, the company’s stock price hit the daily limit for five consecutive trading days, with a total increase of 61.51%, closing at 4.49 yuan per share on March 13.

According to media reports, the target of this acquisition, Sulong Thermal Power, is a thermal power company established in 1993. As a major power and heat source in Jiangyin City and a benchmark power plant within Jiangsu Province, it currently has 6 coal-fired units with a total installed capacity of 1.215 million kW and an annual power generation capacity of 7 billion kWh. Notably, its growth potential is significant: by June 2025, the company’s fourth-phase expansion project, with a total investment of about 5.6 billion yuan, has started construction. It plans to build two additional ultra-supercritical, double-reheat coal-fired units of 660,000 kW each, expected to be completed and put into operation by June 2027. Once completed, the project is expected to generate 6 billion kWh annually, supply 2 million tons of heat, and increase annual sales revenue by nearly 3 billion yuan. If this project proceeds as scheduled, Sulong Thermal Power’s capacity will reach a new level.
Financial data shows that the profitability of the target asset fluctuates. According to disclosures, Sulong Thermal Power’s revenue in 2024 is 3.78 billion yuan, with a net profit of 620 million yuan; in 2025, revenue is expected to decline to 3.095 billion yuan, with a net profit of 347 million yuan.

On March 12, Zhongnan Culture announced a change in trading plan, stating that the company intends to issue shares and pay cash to purchase its 57.30% stake in Jiangyin Sulong Thermal Power and raise supporting funds. This transaction still requires meeting multiple conditions and approval from the Shenzhen Stock Exchange, China Securities Regulatory Commission, and other relevant authorities. There is uncertainty about whether it will be approved and when approval will be obtained.

Termination of Major Asset Restructuring, the Worst Stock Huape Power Resumes Trading and Hits Two Limit-Downs

Among the top ten worst stocks this week, Huape Power (603121.SH) fell 23.42%, making it the worst performer. Stocks like Haoyun Technology (300448.SZ), *ST Wanfang (000638.SZ), Boyangte Welding (301468.SZ), and Jiangwu Equipment (600397.SH) all declined over 18% during the week.

The Top Stock Huape Power belongs to the Auto Parts Industry:

Public information shows that the company is dedicated to the research, production, and sales of core components for automotive turbochargers. Relying on its research and development capabilities in high-temperature resistant metals, advanced casting and molding technology, precision and ultra-precision machining, high-energy beam welding, wear-resistant and corrosion-resistant surface treatments, and alloy steel low-temperature impact toughness enhancement heat treatment processes, the company has become a leader in niche markets such as blow-off valves and other auto parts.

On March 6, Huape Power announced that it had previously planned to acquire 100% of Meichuang Zhigan (Wuxi) Technology Co., Ltd. (“Meichuang Zhigan”) through issuing convertible bonds and paying cash, and to raise supporting funds from no more than 35 specific investors. Due to the pledge of Meichuang Zhigan’s equity and the need to reach a definitive arrangement for de-pledging with the pledgee, this process requires time. To protect the interests of the company and shareholders, the company decided to terminate this major asset restructuring plan before it was completed. The stock resumed trading on March 9 (Monday).

After resumption, Huape Power’s stock price continued to fall: on March 9 and 10, it hit the daily limit down for two consecutive days, and on March 11, it fell nearly 6%. As of the close on March 13, the stock price slightly recovered by 1.08%, closing at 19.68 yuan per share.

Looking back, on February 12, Huape Power announced that it planned to acquire 100% of Meichuang Zhigan through issuing convertible bonds and paying cash, and to raise supporting funds from no more than 35 specific investors. This transaction was expected to constitute a related-party transaction and a major asset restructuring, but not a reorganization listing. The stock was suspended from trading starting February 13.

The announcement shows that Meichuang Zhigan was established on January 9, 2025, with a registered capital of 478 million yuan. Its business scope includes automotive parts R&D, manufacturing of automotive parts and accessories, electronic components manufacturing, electronic components and electromechanical assembly equipment manufacturing, integrated circuit chips and products manufacturing, software development, and refrigeration and air conditioning equipment manufacturing.