On September 11, 2024, hk chaoshang gp (02322.HK) announced that the company has entered into a placement agreement with the joint placement agent. Accordingly, the company has conditionally agreed to distribute a maximum of 660 million shares at a placement price of HKD 0.75 per share through the placement agent, and the subscribers and beneficial owners are all independent third parties.

The placement price of HKD 0.75 per share represents a discount of approximately 16.67% compared to the closing market price of HKD 0.90 per share on the date of the placement agreement. The maximum number of placement shares is equivalent to approximately 13.81% of the enlarged share capital of the company after the placement and issuance of shares. The net proceeds (after deducting placement commission and other related expenses) are estimated to be approximately HKD 0.4799 billion, with a net issue price of approximately HKD 0.73 per share.

In order to (i) support the future expansion and development of the group; and (ii) provide greater flexibility to the company for future fundraising through placement and issuance of shares when necessary, the board of directors recommends increasing the authorized share capital of the company from HKD 0.1 billion to HKD 0.16 billion by issuing an additional 3 billion unissued shares. The increase in authorized share capital is subject to approval by the shareholders at a general meeting.