HK Stock Market Move | CONANT OPTICAL (02276) rose by over 8% and plans to offer a discount of nearly 20% to Hong Kong Gogoir Tech for a rights issue, raising a net amount of 828 million Hong Kong dollars.

CONANT OPTICAL (02276) rose over 8% again, achieving a seven-day winning streak in the past week. As of the time of writing, the stock increased by 7.97% to HKD 21.4, with a trading volume of 124.922 million Hong Kong dollars. In terms of news, CONANT OPTICAL announced that on December 22, 2024, the company entered into a placing agreement with the placing agent. The company conditionally agreed to the placing, and the placing agent (acting as the company's agent) conditionally agreed to induce the subscriber Goertek Inc. to subscribe for 53.325 million shares at a placing price of HKD 15.86 per share. The subscriber and its ultimate beneficial owner are independent third parties. It is expected that all the placing shares will be allotted to the subscriber. The subscriber is an indirect wholly-owned subsidiary of Goertek Inc., a joint-stock limited company established in China, whose shares are listed on the Shenzhen Stock Exchange (002241.SZ). Assuming all placing shares are allotted, the expected total proceeds from the placing are approximately HKD 846 million, with a net amount of approximately HKD 828 million (after deducting relevant placing commission and other expenses, including professional fees). The net proceeds from the placing are expected to be used for research, design, and manufacture of lenses and visual solutions for smart glasses and XR headwear devices.