Duang Yongping’s Pop Mart stake rises again after a forced reduction
Duang Yongping has bought back shares of Pop Mart just one week after his stake in the company was reduced by an option exercise. On Aug. 12, filings with the Hong Kong Stock Exchange showed that H&H International Investment, LLC, managed by Duang, increased its stake in Pop Mart’s H shares from 5.55% to 7.70%. As with the earlier reduction, the latest increase was passive rather than a planned purchase by Duang. Duang publicly disclosed a stake in Pop Mart in May 2026 and said in July that he would not sell for 10 years. His stake fell noticeably for the first time about a week ago, prompting market discussion. The reduction was not a voluntary sale: a covered call he had sold on Pop Mart shares expired and was exercised, resulting in the forced delivery of shares from his personal account. Duang later clarified publicly that the reduction was passive. The Aug. 12 Hong Kong filing showed that his stake returned to above 7% after a put option he had previously sold on Pop Mart shares was exercised by the counterparty. Under the option agreement, Duang was required to buy the shares at the agreed exercise price. As a result, the latest increase was also a passive adjustment, not a planned purchase. Based on Pop Mart’s Aug. 6 closing price of HK$157.30 per share and its latest closing price of HK$151 on Aug. 12, the shares Duang acquired at HK$160 each were temporarily below his purchase price. However, the premium he previously received from the put option may have offset some of that unrealized loss. According to an Aug. 5 Hong Kong filing, the long position held by H&H International Investment, LLC fell from 7.65% to 5.55% on July 30, a decline of 2.1 percentage points. The change resulted from the exercise at expiration of covered calls Duang had sold with Pop Mart shares as the deliverable asset. He was therefore required to deliver 27.9328 million Pop Mart shares from his account at an exercise price of HK$162.50 per share. The Hong Kong filing coded the transaction as 1203, which is officially defined as the delivery of shares to fulfill a derivatives contract. In this case, buyers exercised the covered calls, and Duang was required to deliver the shares under the option contracts. After settlement, his stake fell from 7.65% to 5.55%. On Aug. 5, Duang quickly clarified on social media: “It was just that the put expired, and some shares were called away.” He added: “Actually, the put’s expiration had the bigger impact. In addition, I had sold calls directly when I bought some of the shares. I may continue doing this within a certain price range in the future. From the very beginning, I said that the Pop Mart insurance company had opened for business.” A put option is an arrangement in which an option seller holding cash receives a premium in exchange for granting the buyer the right to sell the underlying stock to the seller at a predetermined exercise price during the agreed exercise period. A call option is an arrangement in which an option seller holding the underlying stock receives a premium in exchange for granting the buyer the right to purchase the stock at a predetermined exercise price during the agreed exercise period. In simple terms, when a call is sold, the buyer can take the seller’s shares if the stock rises above the agreed price. When a put is sold, the seller may have to buy the shares at the agreed price if the stock falls sharply. Duang also explained on Xueqiu why he could be bullish on Pop Mart while buying the stock and selling calls against it. He said the Hong Kong Stock Exchange places a limit on the total amount of puts that can be sold, so he used a strategy of buying the shares and selling covered calls instead. Duang’s public view of Pop Mart has shifted significantly. Last year, he said he did not understand the company and would not invest. After the company released its first-quarter financial report in March 2026, he withdrew his earlier statement that he would not invest in Pop Mart, visited one of its stores for in-person research and increased his stake three times. He eventually became the company’s second-largest shareholder after Wang Ning. Duang continued adding to his position. On July 6, he bought 10.59 million shares at HK$150 each, lifting his stake to 7.65%. After the purchase attracted attention, he wrote on social media: “I’ve only just started buying Pop Mart! My guess is that there’s a high probability I won’t sell for 10 years.” Pop Mart’s stock rose sharply after Labubu drove interest in the company. Since August 2025, however, the shares have generally moved in a volatile downward trend as the market worried about the company’s dependence on a single intellectual property and the possibility of slower future growth. The stock rebounded slightly in the first quarter of 2026 but remained in a narrow, low-level trading range in the second quarter. The stock’s continued volatility has divided market opinion about the outlook for the designer-toy sector. Duang’s purchases and public comments have consequently become an important market signal.
On Aug. 12, filings with the Hong Kong Stock Exchange showed that H&H International Investment, LLC, managed by Duang, increased its stake in Pop Mart’s H shares from 5.55% to 7.70%. As with the earlier reduction, the latest increase was passive rather than a planned purchase by Duang.
Duang publicly disclosed a stake in Pop Mart in May 2026 and said in July that he would not sell for 10 years. His stake fell noticeably for the first time about a week ago, prompting market discussion. The reduction was not a voluntary sale: a covered call he had sold on Pop Mart shares expired and was exercised, resulting in the forced delivery of shares from his personal account. Duang later clarified publicly that the reduction was passive.
The Aug. 12 Hong Kong filing showed that his stake returned to above 7% after a put option he had previously sold on Pop Mart shares was exercised by the counterparty. Under the option agreement, Duang was required to buy the shares at the agreed exercise price. As a result, the latest increase was also a passive adjustment, not a planned purchase.
Based on Pop Mart’s Aug. 6 closing price of HK$157.30 per share and its latest closing price of HK$151 on Aug. 12, the shares Duang acquired at HK$160 each were temporarily below his purchase price. However, the premium he previously received from the put option may have offset some of that unrealized loss.
According to an Aug. 5 Hong Kong filing, the long position held by H&H International Investment, LLC fell from 7.65% to 5.55% on July 30, a decline of 2.1 percentage points. The change resulted from the exercise at expiration of covered calls Duang had sold with Pop Mart shares as the deliverable asset. He was therefore required to deliver 27.9328 million Pop Mart shares from his account at an exercise price of HK$162.50 per share.
The Hong Kong filing coded the transaction as 1203, which is officially defined as the delivery of shares to fulfill a derivatives contract. In this case, buyers exercised the covered calls, and Duang was required to deliver the shares under the option contracts. After settlement, his stake fell from 7.65% to 5.55%.
On Aug. 5, Duang quickly clarified on social media: “It was just that the put expired, and some shares were called away.” He added: “Actually, the put’s expiration had the bigger impact. In addition, I had sold calls directly when I bought some of the shares. I may continue doing this within a certain price range in the future. From the very beginning, I said that the Pop Mart insurance company had opened for business.”
A put option is an arrangement in which an option seller holding cash receives a premium in exchange for granting the buyer the right to sell the underlying stock to the seller at a predetermined exercise price during the agreed exercise period.
A call option is an arrangement in which an option seller holding the underlying stock receives a premium in exchange for granting the buyer the right to purchase the stock at a predetermined exercise price during the agreed exercise period.
In simple terms, when a call is sold, the buyer can take the seller’s shares if the stock rises above the agreed price. When a put is sold, the seller may have to buy the shares at the agreed price if the stock falls sharply.
Duang also explained on Xueqiu why he could be bullish on Pop Mart while buying the stock and selling calls against it. He said the Hong Kong Stock Exchange places a limit on the total amount of puts that can be sold, so he used a strategy of buying the shares and selling covered calls instead.
Duang’s public view of Pop Mart has shifted significantly. Last year, he said he did not understand the company and would not invest. After the company released its first-quarter financial report in March 2026, he withdrew his earlier statement that he would not invest in Pop Mart, visited one of its stores for in-person research and increased his stake three times. He eventually became the company’s second-largest shareholder after Wang Ning.
Duang continued adding to his position. On July 6, he bought 10.59 million shares at HK$150 each, lifting his stake to 7.65%. After the purchase attracted attention, he wrote on social media: “I’ve only just started buying Pop Mart! My guess is that there’s a high probability I won’t sell for 10 years.”
Pop Mart’s stock rose sharply after Labubu drove interest in the company. Since August 2025, however, the shares have generally moved in a volatile downward trend as the market worried about the company’s dependence on a single intellectual property and the possibility of slower future growth. The stock rebounded slightly in the first quarter of 2026 but remained in a narrow, low-level trading range in the second quarter.
The stock’s continued volatility has divided market opinion about the outlook for the designer-toy sector. Duang’s purchases and public comments have consequently become an important market signal.