RA SILK ROAD (00274) suggests conducting a stock capital restructuring.

RA SILK ROAD (00274) announced that the board of directors proposed a share capital reorganization, which will involve share consolidation, capital reduction, and share subdivision as follows: 1. Share Consolidation Existing shares will be consolidated into a new share with a par value of HK$0.5 per share by consolidating every 10 existing shares with a par value of HK$0.05 per share, both issued and unissued. 2. Capital Reduction Following the share consolidation, a capital reduction will be carried out where (a) the par value of each issued consolidated share will be reduced from HK$0.5 to HK$0.001 by cancelling the amount above HK$0.499 of the issued consolidated shares, and (b) any fractional consolidated shares arising from the share consolidation will be cancelled. The amount generated from the capital reduction, approximately HK$29.1 million, will be transferred to the Company's distributable reserve account, which the Board of Directors will use for purposes permitted by applicable laws and the Company's articles of association. 3. Share Subdivision Following the capital reduction, each statutory but unissued consolidated share will be subdivided into 500 new shares with a par value of HK$0.001 per share. The new shares will have equal rights in all respects and the share capital reorganization will not result in any change to the relative rights of shareholders. As of the date of this announcement, existing shares are traded in units of 20,000 shares on the Stock Exchange of Hong Kong. The Board of Directors proposes that following the share consolidation, the trading unit on the Stock Exchange will change from 20,000 existing shares to 10,000 consolidated shares. Following the capital reduction and share subdivision, the trading unit on the Stock Exchange will remain as 10,000 new shares.