HK Stock Market Move | XTALPI-P(02228) surged over 4% during trading hours, planning to allocate up to 264 million shares, with a maximum net proceeds of approximately HK$1.125 billion.

XTALPI-P (02228) rose by over 4% during the trading day, closing at a 3.31% increase at HK$4.68, with a trading volume of HK$33.93 million. On the news front, XTALPI-P announced that on January 18, 2025, the company entered into a placing agreement with the placing agent, intending to place up to 264 million shares, representing approximately 7.18% of the enlarged share capital. The placing price per share is HK$4.28, with a net fundraising of approximately HK$1.125 billion assuming all 264 million shares are fully subscribed. The directors believe that the placement provides a good opportunity for the company to raise funds, expand its shareholder base, strengthen its financial position, and provide operating capital. The announcement stated that the net proceeds from the placement will be mainly used for continuous product iteration and upgrade, enhancing research and development capabilities and solution capabilities; promoting the commercial development of the company, strengthening external cooperation, expanding the company's scale and market share; potential investment opportunities, talent attraction and recruitment, operational capital replenishment and general corporate purposes. It is reported that this financing has received unanimous approval from strategic investors and international long-term funds, with over 80% being long-term investors, including industry-related parties, sovereign funds, and well-known investors and family offices in Hong Kong and Taiwan.