Guolonghui on September 27th, Dongyue Group (00189.HK) announced that on December 27, 2018, the company adopted an employee share purchase plan, which was subsequently revised and restated. The plan has a duration of 10 years and will expire on December 26, 2028. Under the plan, the board of directors of the company can instruct the trustee of the plan from time to time to purchase the company's existing shares from the stock market for designated participants in the plan to hold in trust for settlement. The plan involves the company's existing shares and must comply with the applicable disclosure requirements under Chapter 17 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules"), but does not constitute a share scheme involving the issuance of new shares by the company under Chapter 17 of the Listing Rules.
According to the rules of the plan, the plan should terminate on the 10th anniversary of its adoption date and the Board of Directors may decide to terminate it earlier on the same day through a resolution (whichever is earlier), provided that such termination does not significantly adversely affect any continuing rights of the selected participants under the plan. In order to restructure the group's compensation policy and maximize effective incentives for group employees and advisors, the board has decided to terminate the plan earlier in accordance with the rules of the plan effective as of September 27, 2024. As there are no outstanding share purchase rights under the plan, the termination will not materially adversely affect the rights of any selected participants.
The board of directors hereby informs the company's shareholders and potential investors that it intends to exercise its power under the general mandate ("buyback authorization") passed at the company's annual shareholders' meeting held on June 6, 2024 to repurchase shares in the open market. The repurchase authorization limits the repurchased shares to not exceeding 10% of the total number of shares issued by the company on the day of the annual shareholders' meeting (excluding any treasury shares).
