Gelonghui, December 13 | Tibet Water Resources (01115.HK) issued an announcement. On December 12, 2024, the company and the subscriber signed a subscription agreement. According to this, the subscriber agreed to subscribe and the company agreed to issue bonds with a total principal amount of HK$0.165 billion (it is recommended to issue 8% convertible bonds with a capital amount of HK$0.165 billion due in 2026). Assuming that the bonds are all converted at an initial exchange price of HK$0.33, the bonds can be converted into 0.5 billion shares, which is equivalent to approximately 10.92% of the company's existing issued share capital and approximately 9.85% of the issued share capital expanded by issued converted shares.
The initial exchange price of HK$0.33 per share is equivalent to a 1.54% premium of HK$0.325 per share over the closing price of the shares reported on the Stock Exchange on the last trading day. The estimated total and net proceeds from the issuance of the bonds (after deducting expenses) will be HK$0.165 billion and approximately HK$0.1644 billion, respectively. 50% (approximately HK$82.2 million) of the net proceeds from the issuance of bonds is intended to repay the Group's loans and 50% (approximately HK$82.2 million) is intended to be used as the Group's general working capital.