SANERGY GROUP (02459) plans to offer a discount of approximately 13.3% on its existing shares before issuing new shares, with a maximum net capital of around HKD 16 million.

SANERGY GROUP (02459) announced that on September 20, 2024, the company, the existing shareholder who sells first and the new shareholder who sells later, and the placing agent entered into a placing and subscription agreement. According to this agreement, the existing shareholder who sells first intends to sell up to 50 million shares of the company to no less than 6 placees through the placing agent at a placing price of HK$0.325 per share. The existing shareholder who sells first also conditionally agreed to subscribe for new shares equivalent to the actual number of shares placed based on the placing by the selling shareholder, at a subscription price of HK$0.325 per share, representing a discount of approximately 13.3% to the closing price of HK$0.375 on the day of the announcement. Assuming full subscription of the placing shares, the net proceeds from the subscription are expected to be approximately HK$16 million, with around 50% to be used for the development of the graphite electrode business, including but not limited to purchasing raw materials and/or graphite electrodes, paying subcontracting and conversion costs, and other operating and management expenses, and approximately 50% to be used for supplementing working capital and for general corporate purposes.