Dongfeng Motor shares surge as restructuring plans prompt merger speculation
HONG KONG (Reuters) -Shares of Dongfeng Motor soared as much as 85.8% in Hong Kong on Monday after the Chinese automaker said its parent was planning a restructuring, stoking speculation that some of the state-owned players could be merged as competition grows. Dongfeng Motor said on Sunday that the restructuring by its parent, Dongfeng Motor Corporation, may lead to a change in the controlling shareholder structure but would "not result in a change to the actual controller". Changan Auto, which like Dongfeng is controlled by the central government, published a similarly worded statement about a restructuring plan by its parent on Sunday, stirring speculation on Chinese social media that the two companies may be merged.