In the early hours of trading, HHGrace (01347) witnessed a remarkable surge in its stock price, which soared by over 5%. At one juncture, it soared to a record-breaking high of HK$92.50, marking an impressive eight-day winning streak. As of the moment of drafting this report, the stock had appreciated by 3.83%, trading at a robust HK$90.85, with a substantial trading volume of HK$695 million. HHGrace recently unveiled a restructuring plan in collaboration with Hua Li Micro, aimed at resolving the issue of horizontal competition—a commitment made during its initial public offering (IPO). Hua Li Micro's Plant 5 specializes in providing 12-inch integrated circuit wafer foundry services, boasting a monthly production capacity of 38,000 wafers. Both entities boast foundry capabilities for 65/55nm and 40nm processes. This strategic restructuring is poised to significantly bolster HHGrace's 12-inch wafer foundry capacity, fostering profound complementarity in process platforms.