China Hongbao (08316) issued 45.31 million shares to Liu Huimin for subscription as part of the capitalization loan.

CHINA HONGBAO (08316) announced on January 15, 2025 (after trading hours on the Stock Exchange), the Company has entered into a subscription agreement with subscriber Ms. Liu Huimin. The Company conditionally agrees to issue and allot shares while the subscriber agrees to subscribe for the shares at a price of HK$0.203 per share. The total subscription amount of HK$9.1979 million that the subscriber is required to pay under the subscription agreement will be settled by capitalizing a portion of the Company's debt owed to the subscriber. The issuance and allotment of the subscription shares to the subscriber will constitute full and final settlement of the outstanding debt. The Company must settle the remaining outstanding debt in cash within 3 months after completion. Assuming that the number of shares issued from the date of this announcement to completion remains unchanged, the 45.31 million subscription shares represent approximately 4.99% of the Company's existing issued share capital as of the date of this announcement. After the issuance and allotment of the subscription shares, the Company's issued share capital will increase to approximately 4.75%. The subscription price of HK$0.203 per share represents a premium of approximately 1.5% over the closing market price of HK$0.200 per share on the Stock Exchange on January 15, 2025 (the date of the subscription agreement).