CIG (06166) dropped more than 9% during intraday trading. As of press time, the stock was down 4.51% at HK$105.8, with a turnover of HK$1.012 billion.

On the news front, on October 8, CIG announced plans to raise HK$6.535 billion. The financing will take the form of approximately 70% convertible bonds plus 30% share placement. If the placement and conversion are completed successively, the company's total share capital will increase from approximately 368 million shares to approximately 423 million shares, a rise of about 14.8%, with the A-share proportion diluted from 74.84% to 65.20%.

The announcement stated that the proceeds will be used to expand optical module production capacity, make strategic investments in selected upstream companies, and supplement working capital. The company plans to expand its annual high-speed optical module production capacity by at least 10 million units before the end of 2027 to meet demand for 800G, 1.6T and NPO products, with the new capacity allocated to Jiashan in China, Malaysia, Mexico and the United States. The company's order backlog is growing faster than its production capacity.