Starlight cul (01159.HK) announced that the proposed consolidation and capital restructuring will become effective on July 9. Following the merger of shares, the reduction of capital will involve reducing the face value of each issued and merged share from 1 yuan to 0.1 yuan. The company's statutory capital will be changed to 2 billion yuan, divided into 20 billion new shares. The trading unit will be changed from 500 shares to 2,000 shares per lot.

Assuming that the capital restructuring has become effective and the value of 2,000 shares of new shares per lot is 3,500 yuan based on today's (July 7) closing price of 0.175 yuan.

Assuming that there has been no change in the issued capital before the capital restructuring becomes effective, the company will transfer 98,556,500 new shares already issued and the offset amount of approximately 888.708 million yuan generated from the reduction of capital to the company's payment and surplus account.