C STRATEGIC TEC (01725) intends to place up to 164 million shares at a discount of approximately 9.09%, raising about HK$48.58 million.

C STRATEGIC TEC (01725) announced that on August 18, 2026 (after trading hours), the company entered into a placing agreement with the placing agent, under which the company conditionally agreed to place up to 164 million placement shares at a placing price of HKD 0.300 per placement share to no fewer than six placees (who, together with their ultimate beneficial owners, if applicable, are independent third parties) on a best efforts basis. Assuming there are no other changes to the issued share capital of the company from the date of this announcement until the completion date of the placing, the maximum number of placement shares under the placing represents (i) approximately 20.00% of the existing issued share capital of the company as at the date of this announcement; and (ii) approximately 16.67% of the enlarged issued share capital of the company immediately after the placing upon the allotment and issuance of the maximum number of placement shares. The placing price of HKD 0.300 per placement share represents a discount of approximately 9.09% to (i) the closing price of HKD 0.330 per share as quoted on the Stock Exchange on August 18, 2026. Assuming all placement shares are successfully placed, the total amount raised from the placing will be approximately HKD 49.1 million. The net amount raised will be approximately HKD 48.58 million (after deducting the placing commission payable to the placing agent and other related costs and expenses incurred during the placing), of which (i) approximately HKD 20 million will be used to invest in the company to expand its precision manufacturing business, extending the groups precision manufacturing business from electronic assembly to the upstream highly processed materials, strengthening vertical integration and closed-loop capabilities; and (ii) the remaining balance of approximately HKD 28.58 million will be used for the groups general working capital, including but not limited to ongoing administrative expenses such as salaries, rents, professional fees, and office expenses of the company.