HUAQIN (ASX: 03296) has announced a significant share purchase. The company's wholly-owned subsidiary, Huaqin Communications, executed an on-market transaction on the Hong Kong Stock Exchange on July 10, 2026.

The transaction involved the acquisition of a total of 1,628,200 H shares of NEXCHIP (ASX: 02249). This represents approximately 0.07% of Nexchip's total issued share capital as of the announcement date.

The total consideration for the purchase was about HK$56.41 million, inclusive of transaction costs. This equates to an average price of approximately HK$34.65 per share.

Following this acquisition, the group now holds roughly 10.00% of the total issued share capital of Nexchip Semiconductor Corporation.

Rationale for the Strategic Move

The company stated that this investment demonstrates its sustained confidence in the future development prospects of Nexchip and its recognition of the long-term investment value.

Long-Term Strategic Objectives

Through this acquisition and the group's commitment to holding its Nexchip stake long-term, the company aims to deepen resource integration and synergies across the industry chain. The move is positioned as a key strategic investment intended to explore potential collaboration in various business areas and projects, including industrial investment. The ultimate goal is to enhance the group's overall competitiveness and market position.