HK Stock Connect Watch | MANYCORE TECH (00068.HK) Down Over 30% Since Stock Connect Inclusion, Large Six-Month Lock-Up Expiry on October 17

On October 13, 2026, MANYCORE TECH closed at HKD 5.675, down 9.99% on the day, with turnover of HKD 36.31 million and total market capitalisation of HKD 9.796 billion. The intraday low of HKD 5.63 marked a record low since listing, with an amplitude of 10.71%.

Looking at recent trends, MANYCORE TECH's share price moved in a one-way decline over the past week. Across the past five trading days, the share price fell about 20.63% from HKD 7.15 to HKD 5.675, while market capitalisation dropped from HKD 12.342 billion to HKD 9.796 billion, a decline of about HKD 2.546 billion.

It is understood that on September 7, 2026, a new round of regular Stock Connect adjustment took effect. The number of Hang Seng Composite Index constituents rose from 534 to 580, and MANYCORE TECH (00068.HK) was included and accordingly admitted to Stock Connect.

Public information shows that MANYCORE TECH listed on the Main Board of HKEX on April 17, 2026 at an offer price of HKD 7.62, offering about 160.6 million shares globally and raising gross proceeds of about HKD 1.224 billion. The company is directly listed on the HKEX Main Board, with its Hong Kong public offer over 1,590 times oversubscribed and its international offering 14.46 times oversubscribed. Nine cornerstone investors, including Taikang Life Insurance, Sunshine Life Insurance, GF Fund, Redwood under Hony Capital, Mirae Asset, Wusong Capital, Hesai HK, Guohui Hong Kong and CR CONSTRUCTION, subscribed for about HKD 455 million in aggregate.

On its first trading day, the share price opened 171.65% higher and closed at HKD 18.60, giving total market capitalisation of HKD 31.62 billion. The next trading day it rose a further 101.29% to close at HKD 37.44. In only two trading days, the share price gained about 391.3% over the offer price.

At present, since its listing on April 17, 2026, the share price has risen from the offer price of HKD 7.62 to a peak of HKD 48.50, and has now fallen more than 88% from that peak. Since being admitted to Stock Connect on September 7, 2026, the share price has fallen 54.5%. In terms of market capitalisation, peak market capitalisation in the early post-listing period was about HKD 83.7 billion, which had fallen to HKD 9.796 billion as at October 13, 2026.

It is understood that Hang Seng Indexes Company announced on August 21, 2026 the semi-annual review results as at June 30, 2026, under which MANYCORE TECH was included in the Hang Seng Composite Index, with constituent changes effective from September 7, 2026.

MANYCORE TECH's basis for inclusion lies first in its inclusion in the Hang Seng Composite Index, which gives it the index identity of a Stock Connect eligible security. Second, the company's market capitalisation around the June 30, 2026 review cut-off remained within the market capitalisation coverage range for inclusion in the Hang Seng Composite Index, with newly listed companies listed for less than 12 months having market capitalisation calculated on their actual time since listing. In addition, securities admitted in this adjustment are concentrated in artificial intelligence, advanced hardware, robotics and automation and other directions, and MANYCORE TECH, as a spatial intelligence sector play, is consistent with this structural direction.

(The above is an inference based on public rules and data, not an official determination by the exchanges. The specific reasons for inclusion are subject to the exchange announcements.)

Although MANYCORE TECH's admission to Stock Connect this time provides institutional conditions for broadening the company's channels for southbound capital participation and improving liquidity, the company's slowing revenue growth and sharp share price retreat have occurred at the same time.

It is worth noting that MANYCORE TECH will face a large six-month lock-up expiry window on October 16, 2026, with 1.5991 billion shares released from lock-up, accounting for as much as 94% of the restricted shares upon listing; the shares will be released for trading on October 19, 2026. The release accounts for 92.64% of total share capital, putting additional pressure on the short-term share price.

Public information shows that MANYCORE TECH's core product Kujiale is China's largest spatial design software provider, with a 23.2% market share by 2024 revenue, and its overseas version Coohom covers more than 200 countries and regions worldwide. In recent years the company has extended from spatial design tools to spatial intelligence, forming a three-layer business structure of spatial editing tools, spatial data and spatial large models, with a physical data engine SpatialVerse, a spatial intelligence platform Aholo and an AI video creation platform LuxReal. It has established strategic cooperation with AgiBot, Galbot, Noematrix, HESAI-W and other companies, with application scenarios extending from spatial design to embodied intelligence training and other fields.

Financially, the company's revenue has maintained steady growth: revenue in 2023 to 2025 was RMB 664 million, RMB 755 million and RMB 820 million respectively. Losses for the year over the same period were RMB 646 million, RMB 513 million and RMB 428 million respectively, with losses narrowing year by year; adjusted net profit in 2025 was RMB 57.127 million, a return to profit, with gross margin rising from 76.8% to 82.2%. Revenue in the first half of 2026 was RMB 405 million, up 1.5% year on year, with gross margin rising further to 83.0%. After listing, the debt-to-asset ratio in the first half of 2026 was 37.12%, and cash and cash equivalents at the end of the period were RMB 1.115 billion.

On product and business developments, MANYCORE TECH's spatial intelligence business accelerated its ramp-up during the year: the self-developed 3D generation model Lux3D has been released and internal testing of a world model product has begun; SpatialVerse recorded order value of RMB 6.8 million in the first half, exceeding the full-year 2025 level; and revenue from new AI applications and products was RMB 31 million, up 177% year on year.

Spatial design software is in transition from tool-type software to a spatial intelligence platform. According to Hua Chuang Securities, the global spatial design software market was about RMB 19.2 billion in 2024 and is expected to reach RMB 31.7 billion by 2029, a compound annual growth rate of about 10.5%. China's market is growing faster, with a compound annual growth rate of about 14.9% estimated for 2024 to 2029, expanding from RMB 3.3 billion to RMB 6.6 billion.

GUOSHENG FINANCE noted in a research report that MANYCORE TECH's spatial intelligence business has initially formed a growth flywheel of models, platforms and applications, with SpatialLM, SpatialGen and Lux3D covering spatial understanding, scene generation and 3D asset generation respectively; the traditional spatial design business is driven in the short term by overseas expansion, with the company focusing on markets including South Korea, Southeast Asia, Japan, India and the United States.