Kafelaku Coffee (01869) plans to issue a maximum of 282 million shares for subscription at a discount of approximately 16.5%, raising a net amount of approximately 20.9 million Hong Kong dollars.

KAFELAKU COFFEE (01869) announced that on June 16, 2026, the company entered into a placing agreement with a placing agent. Under this agreement, the company has conditionally agreed to place up to 2.82 billion shares at a placing price of HK$0.076 per share to a minimum of six placees. These placees are third-party individuals, corporations, institutional investors, or other professional investors independent of the company and its associates. The shares will be issued and distributed under the general mandate. Assuming no changes in the company's issued share capital from the announcement date to the completion of the placing, the maximum of 2.82 billion placing shares represents approximately (i) 20.0% of the company's issued share capital as of the announcement date; and (ii) approximately 16.7% after the full issue and distribution of the placing shares. The placing price of HK$0.076 per share represents a discount of approximately (i) 16.5% to the closing price of HK$0.091 per share reported on the Stock Exchange on the date of the placing agreement; and (ii) 19.7% to the average closing price of HK$0.0946 per share reported on the Stock Exchange in the five consecutive trading days prior to the placing agreement. If all placing shares are fully placed, the estimated total proceeds and net proceeds (after deducting placing commissions, other related expenses, and professional fees) from the placing are expected to be HK$21.4 million and approximately HK$20.9 million, respectively. The company intends to use the net proceeds from the placing for (i) improving the company's financial position by reducing debt and (ii) the business operations and general working capital of the group.