XTALPI (02228) plans to issue zero-coupon convertible bonds with a principal amount of HK$2.866 billion due in 2027.

XTALPI (02228) announced that on January 7, 2026 (after trading hours), the company entered into a subscription agreement with an agent. Pursuant to this agreement, the company has agreed to issue zero-coupon convertible bonds with a total principal amount of HK$2.866 billion due in 2027, and the agent has individually (not jointly) agreed to subscribe for and pay or cause the subscribers to pay for such bonds, subject to certain conditions as set out in the subscription agreement. Assuming full conversion of the bonds at an initial conversion price of HK$13.85 per share, the bonds will be converted into approximately 207 million shares. Upon completion of the bond issuance, the company intends to use the net proceeds from the issuance for: enhancing the company's domestic and international research and development capabilities and one-stop solution providing capabilities; improving domestic and international commercialization capabilities, expanding business development and marketing teams; expanding domestic and international delivery and research and development capabilities through the construction of factories; as well as for working capital and general corporate purposes.