HK Stock Market Move | Scholar Edu (01769) rose more than 15% in the morning session, proposing to issue discounted rights shares to raise approximately HK$241 million for future potential AI projects, etc.

SCHOLAR EDU (01769) surged more than 15% in the morning session. As of the time of publication, it was up 12.25% to 2.84 Hong Kong dollars, with a trading volume of 195.518 million Hong Kong dollars. In terms of news, SCHOLAR EDU announced that on October 15, 2025 (after trading hours), the company entered into a subscription agreement with a subscriber. Under this agreement, the subscriber has conditionally agreed to subscribe and the company has conditionally agreed to issue a total of 110 million subscription shares at a subscription price of 2.2 Hong Kong dollars per share. The subscription price of 2.2 Hong Kong dollars per share represents a discount of approximately 13.04% compared to the closing price of 2.53 Hong Kong dollars per share reported by the company on the day of the subscription agreement on the Stock Exchange. The subscription shares represent approximately 19.47% of the total number of issued shares of the company as of the date of this announcement, and approximately 16.30% after the subscription. The expected total proceeds and net proceeds from the subscription are approximately 242 million Hong Kong dollars and 241.3 million Hong Kong dollars, respectively. The company plans to use the net proceeds to enhance the quality of the group's teaching and students' learning experience, including recruiting more course developers, optimizing and enriching course content and materials, renovating facilities and purchasing teaching equipment; potential future AI projects; and supplementing operating capital and general corporate purposes to support the company's strategy.