Zhitong Finance and Economics APP News, CN Int Dev Corp (00264) announced that on November 4, 2024, the company and a strategic partner (Fa Hydrogen New Energy Group Limited) may establish a joint venture by signing a memorandum of understanding related to the strategic business cooperation of hydrogen injection clean systems for automobile engines.

Apart from several articles related to formal agreements, termination, confidentiality, expenses, regulatory laws, and judicial jurisdiction, the memorandum of understanding is not legally binding. If the company and the buyer proceed to establish a joint venture, they will enter into a formal agreement.

On November 4, 2024, the placement agent entered into a placement agreement with the company, conditionally agreeing to act as the company's placement agent to use best efforts to solicit no less than six placees (each and their ultimate beneficial owners being independent third parties) to subscribe for up to 40 million shares of placed shares at a placement price of HK$1.02 per share. The placed shares will be issued and distributed under general mandate.

Assuming that there is no change in the company's issued share capital from the date of this announcement to the completion of the placement, the maximum number of placed shares under the placement represents approximately 8.84% of the expanded issued share capital resulting from the placement and issuance. The placement price per share is HK$1.02, which represents a discount of around 19.05% compared to the closing market price of HK$1.260 per share on the Stock Exchange on November 4.

Upon completion of the placement, the expected total and net proceeds of the placement (after deducting placement commissions, professional fees, and all related expenses borne by the company) are approximately HK$40.8 million and HK$39.6 million respectively. Based on this benchmark, the net issue price is approximately HK$0.99 per placed share.