On October 9, Gelunhui announced that yuk wing gp (01536.HK) entered into a placement agreement with the placement agent on October 9, 2024. According to this, the placement agent agreed to place up to 76 million shares to no less than six independent placing participants at a price of 0.0850 Hong Kong dollars per share on a best-effort basis.

The placement shares account for approximately 16.67% of the enlarged issued share capital after the placement and issuance. The placement price of 0.0850 Hong Kong dollars per share represents a discount of approximately 18.27% compared to the market price of 0.1040 Hong Kong dollars per share reported on the Stock Exchange on the date of the placement agreement. The net proceeds from the placement are expected to be approximately 6.14 million Hong Kong dollars, intended for the group's general operating funds. The net proceeds from the placement per share are expected to be approximately 0.0808 Hong Kong dollars per share.

To (i) support the group's future expansion and development; and (ii) enable the company to raise funds through the issuance of shares more flexibly when needed in the future, the board of directors proposes to increase the authorized share capital of the company from 50,000,000 Hong Kong dollars (divided into 500,000,000 shares) to 2,000,000,000 Hong Kong dollars (divided into 20,000,000,000 shares) by adding 19,500,000,000 unissued shares. The increase in authorized share capital must be approved by ordinary resolution at a special general meeting of shareholders before it can be implemented.