MINIMAX-WP's stock plummeted 5.00% during intraday trading on Thursday, reflecting significant investor concerns about the company's near-term prospects.
The decline comes as MINIMAX-WP faces exclusion from the Stock Connect program until August at the earliest due to its weighted voting rights structure, preventing access to mainland capital inflows. This stands in contrast to peer Zhipu, which is already eligible for Stock Connect trading and has attracted substantial southbound fund flows, creating a capital diversion effect.
Additionally, market sentiment is weighed down by concerns over an upcoming share unlock. With a true free float of less than 6%, approximately 34.25% of shares are set to be unlocked on July 9, with financial investors holding over one-third of that portion. This has raised fears of a potential supply-side shock as these investors may seek exits.