On December 12, Gelonghui | Kunbo Medical-B (02216.HK) issued an announcement. On December 12, 2024, the board of directors resolved to exercise the power under the repurchase authorization to repurchase the company's shares on the open market from time to time. The proposed share repurchases will be disbursed using the company's existing available cash. The company will not make a repurchase if it has a significant adverse impact on the company's working capital situation. The company will then cancel, hold, sell, or transfer the repurchased shares (if any) as the board of directors deems appropriate.
The company's current financial position is sound. The Board of Directors believes that the current transaction price of the shares does not reflect their intrinsic value. The Board believes that the proposed share buyback will enhance the value of the shares, thereby increasing shareholder returns. Furthermore, the Board believes that the proposed share buyback reflects the company's full confidence in its long-term business prospects and the company's growth potential, and will ultimately benefit the company and the best interests of the company and shareholders as a whole.