Yum China Holdings, Inc. (09987) saw its shares rise more than 3% in afternoon trading. As of the time of writing, the stock was up 3.44%, trading at HK$348.8 with a turnover of HK$197 million.

The company is scheduled to host its second-quarter earnings conference call on July 30, where further transaction details are expected to be disclosed. Market attention is focused on the progress of integration following its recent acquisition. It is reported that on June 16, Yum China announced it had entered into a definitive agreement with Yum! Brands to acquire ownership of the Pizza Hut brand in mainland China for a cash consideration of $1.2 billion. This transaction is anticipated to close in the third quarter of 2026.

Huatai Securities previously noted that if this deal is successfully completed, the company would transition from being the exclusive franchisee of Pizza Hut in mainland China to the brand owner, granting it greater strategic flexibility. Looking ahead over the long term, the firm is optimistic about Pizza Hut's brand value and operational resilience through economic cycles. It also anticipates that with continuous improvements in operational efficiency, the company's profit margins will steadily increase and shareholder returns will be delivered progressively. The brokerage maintains its "Buy" rating on the stock.