• SDHG market cap hit HK$100 billion for the first time, as stock price surged 200+ percent in 2025
• From 2021 to 2024, SDHG’s total assets more than tripled, from RMB 21.43 billion to RMB 66.17 billion
• Dazzling success attributed to SDHG’s two-pronged strategy of smart investing in new energy and computing power
• Electricity-Computing Integration model places SDHG in unique position to lead industry
• SDHG’s outstanding ability to align key businesses with national policy priorities wins dedicated government support

Shandong Hi-Speed Holdings Group Ltd. (00412. HK) shares rose to HK$17.40 at closing on Thursday, July 16, sending the market cap of the strongly growing company to HK$105.58 billion. It was the first time for SDHG’s market cap to hit the HK$100 billion mark, indicating the market’s unequivocal endorsement of SDHG as a leader in Electricity-Computing Integration and AI-ready infrastructure.

As global competition in AI innovation intensifies to a breakneck pace, the demand for computing power has skyrocketed, which led renewable energy and computing power become critical battlegrounds for serious contenders in the field. SDHG, a pioneer strategy investor in Electricity-Computing Integration, is widely believed to lead the race.

Pivot to AI infrastructure builder

In 2025, data center electricity consumption is expected to account for 5 percent of China's total electricity usage. The country's intelligent computing power is projected to reach 1,037.3 EFLOPS in 2025 and to surge to 2,781.9 EFLOPS in 2028. The highly centralized GPU clusters required for intelligent computing centers will have to consume more power.

On the eve of AI innovation booms, SDHG has made a strategic transition from primarily making financial investments toward becoming an investment holding platform focused on emerging industries. It has since emerged as China's leading company owning premium assets in bothrenewable energy and computing power, creating a unique Electricity-Computing Integration model.

In 2022, SDHG acquired Shandong Hi-Speed New Energy Group Ltd. (SHNE, 01250. HK) and now owns 56.97 percent of the company’s stakes. In 2023, SDHG made a strategic investment worth US$299 million in VNET Group Inc. (NASDAQ: VNET). SHNE owns clean energy projects in more than 20 provinces in China and has been actively exploring international markets. VNET started focusing on selling data center services to retail clients in China and have grown to serve hyperscale customers including Alibaba Cloud, Tencent Cloud, and Huawei Cloud.

These and other smart investment moves have helped the company gain a strong foothold in traditional infrastructure as well as in new infrastructure. It now owns significant stakes in 28 companies specialized in building and operating wind or solar power facilities, and in many other companies in the field of computing power.

Alignment with national policy priorities

SDHG has shown outstanding ability to align its key businesses with major national policy priorities, namely renewable energy and computing power. As a result, SDHG enjoys full policy dividends from such national projects as “East Data, West Computing” and secures dedicated government support in energy-rich provinces, especially support for its Electricity-Computing Integration model.

Partnering with local governments and companies, SDHG has been able to achieve great success in experimenting with innovative business models that hand the company a unique advantage in both Chinese and international markets. The Ulanqab Source-Grid-Load-Storage Integration Project in Inner Mongolia is one of SDHG’s flagship projects and epitomizes the innovativeness of Electricity-Computing Integration.

SDHG is building power generation and storage facilities (solar and wind) right next to AIDC and other computing power centers in grassland town Ulanqab. The model breaks down traditional power grid constraints by enabling direct electricity trading ("selling electricity across the wall"). It thus establishes an ecosystem of power generation, transmission, and consumption in the same physical space. This self-contained green ecosystem, with tremendous environmental and economic value, operates on the principles of:

* Instant Utilization (power consumed immediately upon generation) * On-Demand Availability (guaranteed supply for computing facilities) * Market-Based Pricing (dynamic cost optimization) * Mutual Benefit (win-win for energy producers and computing operators)

Upon reaching full capacity, the SDHG Ulanqab project will generate approximately 860 million kWh of electricity annually, supplying a significant part of the power to run VNET’s 150MW computing centers in Ulanqab. When the 1GW Ulanqab III is in full operation and powered by SDHG, an additional RMB 1.3 billion worth of economic benefits will be created for the company.

When these numbers are realized, the flagship SDHG Ulanqab Electricity-Computing Integration project will be on par with Stargate, a mega project of AI infrastructure in Texas, USA invested by OpenAI, Oracle and Softbank.

Reliable financing toolkit

SDHG’s solid background in licensed financial transactions and ability to leverage Hong Kong’s status as an international financial center have also been crucial in its success in financing the new energy and computer power projects with a reliable world-class toolkit.

In May 2024, SDHG issued US$900 million worth of perpetual bonds — the largest USD senior perpetual bond issuing by any Chinese issuer since 2021, which were subscribed by 280 institutional accounts across Asia, Europe, the Middle East and Africa. In March 2025, SDHG’s portfolio company VNET Group Inc. completed a $430 million convertible preferred notes offering — the largest such issuance relative to market cap by a Chinese firm since early 2024 which secured foundational capital for its domestic expansion.

Endowed with the above-mentioned advantages, SDHG has established itself as a market leader with proven operational excellence, attracting more and more major companies to become customers and partners.

In May 2025, SDHG signed a strategic cooperation agreement with Chinese tech giant Huawei Technologies Co., Ltd. to build projects driven by "green computing power and clean energy", develop "zero-carbon smart parks", and collaborate in the field of intelligent transportation, including vehicle-road coordination and large-scale intelligent driving models.

The capital market has also reacted to SDHG's new strategy and remarkable business performance enthusiastically. In June 2025, multiple brokerages issued initiating coverage reports with "Outperform" ratings for SDHG, including Sinolink Securities (HK), Zhongtai Securities, Tebon Securities, and SXC Securities.

“Through smart strategic maneuvers, SDHG has managed to build a complete ecosystem in new energy and new infrastructure, greatly enhancing the company’s core competitiveness,” the Zhongtai Securities report states.

SDHG was incorporated in 1992 as China New Financial Group Limited. The company was acquired by Shandong Hi-Speed Group in 2017 and adopted its current name in 2022. It was listed on the Hong Kong Stock Exchange in the same year and is now a constituent stock of the Hang Seng Composite Index. The company currently holds an Fitch “A-” Issuer Default Rating (IDR) with an ESG Entity Rating of “2” (Sustainable Fitch).

SHDG has been on a phenomenal growth trajectory in the last 4 years despite macroeconomic challenges in the world and in the region. From 2021 to 2024, its total assets more than tripled — expanding from RMB 21.43 billion to RMB 66.17 billion. Its stock price has soared over 200 percent in 2025, while annual revenues are forecast to grow to RMB 6.59 billion, RMB 6.77 billion, and RMB 7.37 billion for 2025, 2026, and 2027, respectively. Net profit attributable to parent company shareholders is expected to more than double in the period, from RMB 216 million in 2025 to RMB 555 million in 2027.

“We expect SDHG to keep its growth momentum in the coming years, benefiting from and contributing to national policy initiatives in new energy and computing power. In particular, SDHG’s Electricity-Computing Integration model powering AIDC will cement the company’s lead in the industry and help realize its full potential as a market innovator,” the Zhongtai Securities report concludes.

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Company Name: Shandong Hi-Speed Holdings Group Ltd.
Contact Person: Stanley Shi
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Country: China
Website: https://www.sdhg.com.hk/en/