HK Stock Market Move | GLOBAL NEW MAT (06616) continues to fall by more than 10%, the company plans to issue 1 billion Hong Kong dollars in convertible bonds to optimize the company's capital structure.

GLOBAL NEW MAT (06616) suffered a flash crash the previous day, with another drop of over 10% in early trading today. As of the time of writing, it had dropped by 9.09% to 9.4 Hong Kong dollars, with a turnover of 30.8213 million Hong Kong dollars. On the news front, GLOBAL NEW MAT recently announced its intention to issue convertible bonds with a total principal amount of 1 billion Hong Kong dollars. Based on a preliminary conversion price of 10.19 Hong Kong dollars per share, the convertible bonds will be convertible into approximately 98.1354 million shares, representing about 7.92% of the existing issued shares. The net proceeds of approximately 981 million Hong Kong dollars will be mainly used for replenishing operating funds, refinancing existing debt, and general corporate purposes. Sinolink stated that this financing will not only optimize the company's capital structure and enhance cash flow stability but also provide solid funding support for the upgrading of core product research and development, global market expansion, and industry chain integration, further consolidating its leading position in the global pearl material field.