China Merchants Securities Approves HK$7.6 Billion Capital Injection for Hong Kong Unit and HK$6 Billion for

China Merchants Securities announced on the evening of August 17 that its board had reviewed and approved a proposal to increase capital in China Merchants Securities International (CMSCI). The plan includes two parts: first, an injection of up to HK$7.6 billion (approximately US$1 billion) into CMSCI, with the final amount subject to regulatory approval and implemented in one or multiple tranches depending on the company's circumstances; second, authorization for CMSCI to inject up to HK$6 billion into its wholly-owned subsidiary, to be carried out in stages in light of business development and regulatory dynamics. This marks the second such capital injection into its international business since December 2025.

On December 8, 2025, China Merchants Securities had announced that CMSCI would inject capital into its wholly-owned subsidiary in stages, up to HK$9 billion, with the first tranche to China Merchants Securities (Hong Kong) Company Limited totaling up to HK$4 billion.

Financial data show that in 2025, CMSCI generated revenue of RMB 1.161 billion and net profit of RMB 502 million, up 7.59% and 22.05% year on year, respectively, accounting for 4.65% of the group's total revenue and 4.08% of net profit attributable to the parent. At the end of 2025, CMSCI's net assets stood at RMB 9.42 billion, with a leverage multiple of 5.64 times and a return on equity of 5.60%.

Since 2025, multiple securities firms have continued to inject capital into their international operations. More than ten brokers have announced targeted support measures for their international businesses, including large firms such as CITIC Securities, Guotai Haitong, Huatai Securities, GF Securities, CICC, and China Merchants Securities, as well as mid-sized brokers such as Hua'an Securities, Soochow Securities, and Shanxi Securities. By the end of 2025, the return on equity of CITIC Securities International, CSC Financial International, and CICC International reached 28.5%, 19.1%, and 15.9%, respectively. CICC's Hong Kong subsidiary has consistently contributed more than 30% of the company's profit since 2019, while the profit share of the Hong Kong subsidiaries of CITIC Securities and Huatai Securities has also been rising.

Against the backdrop of continued high-level opening of the capital market, regulators have been improving the regulatory framework for cross-border business. The two-way opening of the capital market is gradually shifting from market access liberalization to institutional opening. Growing demand from enterprises for offshore financing and overseas investment, as well as households' global asset allocation needs, is driving expansion in cross-border financial services.