On August 24, three major indexes of A Share opened higher collectively. As the new share which has just finished its A-share IPO last Friday, the stock price of China Telecom has dropped for two days successively.
As to the fall of the stock price, China Telecom says that the market is unpredictable, and the purchase and sale are both subject to market. The company is paying close attention to stock price. For one thing, it has a “Green Shoe Option”, meaning if the stock price falls below the initial offering price, it will take action. For the other, China Telecom also has plans to stabilize A-share stock price, e.g. stake increase of major shareholders and share repurchase plan.