idt int'l (00167.HK) announced that it will undergo a capital reorganization, in which the group intends to merge shares, involving the consolidation of every 60 shares with a par value of 0.10 yuan per share into 1 share with a par value of 6 yuan per merged share; increasing the statutory share capital from 2 billion yuan through the addition of 16.6667 million unissued merged shares, to 2.1 billion yuan; capital reduction involving the cancellation of company-paid-up capital, reducing the par value of each issued merged share from 6 yuan to 0.6 yuan; share split, where the unissued merged shares with a par value of 6 yuan will be split into 10 new shares with a par value of 0.6 yuan each; and the cancellation of share premium.

Assuming that from now until the effective date of the capital reorganization, there are no other changes in the company's issued share capital, then following the implementation of the capital reorganization, the company's statutory share capital will be 2.1 billion yuan, with 43.3332 million new shares issued as fully paid or credited towards payment, and the total par value of the company's issued share capital will be 25.9999 million yuan.

In addition, the board of directors recommends changing the trading unit of shares on the Stock Exchange from 2,000 existing shares to 0.016 million new shares per transaction, subject to the effective date of the capital reorganization. Based on the closing price of 0.018 yuan per existing share reported by the Stock Exchange on the last trading day, the value of each 2,000 existing shares is 36 yuan; assuming the capital reorganization is effective, the value of each transaction of 2,000 new shares will be 2,160 yuan; and assuming the change in trading unit has taken effect, the estimated value of each transaction of 0.016 million new shares will be approximately 0.0173 million yuan.

On October 15 of this year, the group entered into a subscription agreement with subscribers, whereby the subscribers agreed to subscribe for 0.39 billion new shares, with a total subscription price of 0.234 billion yuan, i.e., 0.6 yuan per new share.

The company stated that it has been in financial distress and currently unable to repay certain debts. According to the audited annual accounts for the year ended December 31 of last year, the estimated total debt under debt restructuring amounted to approximately 0.216 billion yuan.

Trading of shares on the Stock Exchange has been suspended since April 3, 2023, and will continue to be suspended until the resumption guidance is reached.