Gelonghui, March 7, 丨 China Hong Kong Energy (00931.HK) announced that on March 7, 2024, the company (as issuer) and Jane (as the subscriber) entered into a loan capitalization agreement. According to this, the contracting party conditionally agreed that the subscriber will subscribe and the company will allocate and issue a total of 697,674,419 capitalized shares at the capitalized price of HK$0.43 per capitalized share. The price of all capitalized shares payable by the subscribers will be settled by capitalizing and offsetting the repayment amount of HK$300 million upon completion.

Assuming that there is no change in the total number of issued shares between the announcement date and the period of allotment and issuance of capitalized shares, capitalized shares are equivalent to (i) approximately 11.67% of the total number of issued shares on the announcement date; and (ii) approximately 10.45% of the total number of issued shares expanded through allotment and issuance of capitalized shares.