Soochow Securities announced on 2 March that it planned to take control of Donghai Securities, signing a preliminary agreement with Donghai's controlling shareholder, Changzhou Investment Group, and suspending trading in its own shares.
Why Soochow Securities Co., Ltd. is buying Donghai Securities Co., Ltd.
Soochow said the acquisition would strengthen its core competitiveness and its role in supporting regional growth; commentators linked it to the State Council's 2024 guidance encouraging leading brokers to grow through mergers.
Deal terms and financing
The initial agreement covered a 26.68% stake to be paid for in new shares. The final draft, published on 2 June, set the price for 83.68% of Donghai at RMB11.519bn, based on a market-approach valuation of the whole company at RMB13.77bn as at 31 December 2025, with RMB10.786bn paid in about 1.14bn new Soochow shares at RMB9.46 and RMB732m in cash.
Regulatory approvals and timing
The share issue needs Shanghai Stock Exchange approval and CSRC registration. Soochow announced in September 2026 that the CSRC had accepted the application and published a review progress update on 1 October 2026 (SSE filings).
Market context
On 2025 figures the combination lifts Soochow's total assets from RMB216.2bn to RMB282.8bn and revenue from RMB9.03bn to RMB10.89bn. Donghai, founded in Jiangsu in 1993, returned to profit in 2024 after a RMB492m loss in 2023 and trades on the NEEQ over-the-counter market.
