Stock Performance: YOURAN DAIRY (09858.HK) opened 5.12% lower but later surged by 8.4% to a peak of HKD4.66, closing at HKD4.43, up 3.02% with a trading volume of 395 million shares.

Placement Announcement: The company announced a placement of 299 million shares at HKD3.92 each, an 8.8% discount to the previous closing price, which will increase major shareholder YILI's stake from 33.9% to 36.1%.

Market Reaction: Short selling amounted to $15.13 million with a ratio of 4.573%, indicating significant market activity around the stock.

Analyst Rating: Citi has issued a Buy rating for YOURAN DAIRY, setting a target price of HKD5.4 for the stock.

Share Placement Announcement: YOURAN DAIRY announced a top-up placing of 299 million shares and a placement of 299 million new shares to its controlling shareholder YILI, raising a total of HKD2.346 billion.

Placement Details: The shares will be placed at HKD3.92 each, representing an 8.84% discount to the previous closing price of HKD4.3, with expected net proceeds of around HKD1.159 billion after expenses.

Special Mandate Subscription: The company will also place 299 million new shares to a wholly-owned subsidiary of YILI under a special mandate, with similar pricing and expected net proceeds of approximately HKD1.171 billion.

Market Context: The short selling for YOURAN DAIRY is reported at $15.13 million, with a short selling ratio of 4.573%.

Market Performance: The HSI fell by 25 points (0.1%) to 26,596, while the HSTI rose by 34 points (0.5%) to 6,358, and the HSCEI decreased by 11 points (0.1%) to 9,442.

Active Heavyweights: Notable stock movements included BABA up 1% to $175.1, HKEX down 0.7% to $439.2, and Tencent slightly up 0.1% to $660.5, with significant short selling activity across these stocks.

Top Gainers: WUXI APPTEC surged by 5.2% to $115.5, SMIC increased by 3.3% to $79, and several other stocks like HUA HONG SEMI and YOURAN DAIRY also hit new highs with substantial percentage gains.

Short Selling Insights: The short selling ratios varied significantly, with BABA at 23.811% and HUA HONG SEMI at 9.926%, indicating varying levels of investor sentiment and market speculation.

Market Reaction to Pro-Birth Subsidies: Following the launch of pro-birth subsidies in mainland China, childcare and assisted reproduction stocks saw significant increases, with notable gains for companies like JXR and BASECARE-B.

Performance of Related Stocks: Various related stocks, including infant formula producers and children's products, experienced mixed results, with some stocks like AUSNUTRIA reaching over one-and-a-half-year highs, while others like GOODBABY INTL faced declines.