PHANCY's stock price plummeted 5.30% during intraday trading on Wednesday, reflecting significant selling pressure in the market.

The sharp decline followed the company's announcement of a proposed H-share full circulation plan, under which approximately 53.16 million domestic unlisted shares held by the controlling shareholder and other shareholders will be converted into H-shares. These shares represent approximately 9.52% of the company's total issued share capital.

Market analysis indicates that the conversion of non-tradable shares into listed and tradable shares would increase the supply of circulating shares, triggering investor concerns over potential equity dilution and shifts in supply-demand dynamics, which placed short-term pressure on the stock price.