Benzinga -
- GDS Holdings Ltd (NASDAQ: GDS) is a leading developer and operator of high-performance data centers in China.
- The ease in China's Covid-19 lockdown guidelines is seen as a positive for companies operating there. Investors are cheering the move.
- China has slightly relaxed some Covid restrictions even as case numbers have risen to their highest in months, BBC reports.
- Quarantine for close contacts will be cut from seven days in a state facility to five days and three days at home.
- Officials will also stop recording secondary contacts implying many people will bypass quarantine.
- Also Read: GDS Clocks 24% Revenue Growth In Q2; Cuts FY22 Outlook
- The slight easing comes weeks after Xi Jinping was re-instated as party leader for a historic third term.
- Xi held his first Covid meeting with his newly elected Standing Committee on Thursday.
- China's zero-Covid policy dealt a punishing blow to the economy and ordinary people's lives.
- Beijing, Guangzhou, and Zhengzhou currently saw record numbers.
- On Thursday, China's new Covid cases peaked at 10,500, the highest daily total since April when China shut down its largest city Shanghai to combat a wave there.
- Despite the minor changes, however, most restrictions remain in place.
- Price Action: GDS shares traded higher by 13.1% at $12.44 on the last check Friday.