Winbull Securities acted as the sole overall coordinator and placing agent to facilitate the completion of XUNZHONG (02597)'s HK$316 million H-share placement.

On September 10, 2026, XUNZHONG (02597) completed the pricing of a HK$316 million H-share placement at HK$28.20 per share, representing an increase of approximately 108% over the IPO offer price of HK$13.55 in July 2025. Winbull Securities International (Hong Kong) Limited acted as the sole overall coordinator and sole placing agentfourteen months earlier, it was merely one of the joint lead managers in the same company's IPO. I. Transaction at a Glance Three noteworthy details: First, this is a refinancing under a "general mandate." This placement was executed pursuant to the general mandate granted to the board of directors by the company's 2025 annual general meeting, without the need to convene another shareholders' meeting for approval. For the issuer, this means the financing window can be entirely timed by the board based on market conditionssignificantly compressing the time from decision to completion. The general mandate granted to the board in the Hong Kong stock market typically allows for the issuance of no more than 20% of the issued share capital, a mechanism that is one of the important reasons why Hong Kong's refinancing efficiency is significantly higher than that of other markets. Second, it adopts a "best efforts basis" rather than "underwriting." The placing agent procures subscribers on a best-efforts basis rather than committing to underwrite any shortfall. This arrangement is relatively common in small-scale refinancings in the Hong Kong market; for the issuer, it reduces underwriting fees, while for the placing agent, it tests genuine investor coverage capabilityif you can't sell it, you can't raise the full amount, with no backstop. Third, there are no fewer than six placees, all independent third parties. This clause is intended to ensure that post-placement shareholding will not be excessively concentrated in a single investor, while also satisfying the Stock Exchange's public float requirements. II. From Joint Lead Manager to Sole Overall Coordinator: A Fourteen-Month Chain of Trust What is truly noteworthy about this transaction is not the figure of HK$316 million, but the role itself. Going back to July 9, 2025, XUNZHONG listed on the Main Board of the Hong Kong Stock Exchange at an offer price of HK$13.55, with a global offering of 30,440,000 shares, raising gross proceeds of approximately HK$412.5 million. At that time, Winbull Securities' role was joint lead manageran important execution role, but still in the "participant" tier in the issuer's eyes. Fourteen months later, when the company launched its first equity refinancing after listing, Winbull's role was upgraded to sole overall coordinator and sole placing agent. From "participating in it" to "sole lead," this trajectory is not common in investment banking. It typically signifies three things: For a listed company, choosing the right capital markets partner is often more important than saving a few dozen basis points in commissions. A partner that has been alongside you long enough truly understands the company's business rhythm and financing windowswhich is why "continuous service by the same institution" is regarded as a scarce signal in the ECM field. After the placement was completed, the shareholding ratio of the company's chairman, Mr. Piao Shengken, will be diluted from approximately 20.52% to approximately 18.79%, remaining the single largest shareholder of the company, with the control structure remaining stable. The dilution of only 1.73 percentage points indicates that the matching of this financing scale with the share capital structure was managed with relative restraint. III. Where the Money Goes: 90% of the Ammunition Directed at Computing Power The market's positive reaction to this placement largely stems from the highly focused use of proceeds. According to the announcement, approximately 75% of the net proceeds are directly invested in the computing power business, with another approximately 15% for supporting investments in the computing power business, totaling approximately 90% related to computing power: The company explicitly stated that computing power operation services represent a brand-new business segment opened up beyond its original cloud communications and enterprise digitalization businesses. This placement, without increasing debt burden, provides funding support for AI servers, computing power scheduling platforms, product R&D, and talent recruitment. The transformation has begun to deliver. In the first half of 2026, the company achieved operating revenue of RMB 326 million, a year-on-year increase of 19.06%; of which the cloud communications services segment contributed RMB 298 million in revenue, a year-on-year increase of 17.93%; the newly established intelligent computing scheduling and operation services segment contributed RMB 12 million in revenue for the first time, marking the official implementation of the "cloud communications + intelligent computing" dual-driver strategy. The decline in net profit attributable to shareholders over the same period was mainly due to upfront investments in computing power procurement, infrastructure, and team expansionwhich is precisely the practical necessity of this financing. Understanding this point is crucial: this is not a financing driven by a "lack of money," but one that replenishes ammunition for an already-validated growth curve. IV. About XUNZHONG (02597) Beijing XUNZHONG Technology Co., Ltd. was founded in 2008 and is one of the earliest providers of cloud communication services in China, as well as one of the few providers in the country capable of delivering AI-driven communication services. By 2024 revenue, the company ranks as the third-largest cloud communication service provider in China, with a market share of approximately 1.8% of total revenue in China's cloud communication services market (Source: Frost & Sullivan). The company's core business revolves around Communications Platform as a Service (CPaaS) and contact center SaaS, integrating resources from major domestic telecommunications operators to provide customers with basic communication capabilities such as messaging, voice, and mobile data, augmented by value-added functions including data analytics, privacy protection, and intelligent routing. Its services are widely used in the internet, software services, information technology, and financial industries. As of December 31, 2024, the company had registered 7 invention patents and 201 software copyrights. Looking ahead, the company will focus on AI-driven cloud service innovation, with plans to launch smart hardware products such as smart bracelets and AI earphones, and to promote deep application of voice agents in telecommunications, finance, and other sectors. V. Winbull Securities' Capital Markets Business Landscape Winbull Securities International (Hong Kong) Limited is headquartered in Hong Kong and is a licensed corporation with the Hong Kong Securities and Futures Commission (Central Number: BRG131), holding Type 1 (dealing in securities), Type 4 (advising on securities), and Type 9 (asset management) regulated activity licenses, and is an HKEX participant (Broker Number: 3011). The company has built a next-generation "internet asset management + wealth management" brokerage platform, with business covering three major segments: Brokerage Business Hong Kong stocks, U.S. stocks trading, options trading, margin financing, IPO subscription financing and grey market trading, money market funds, and other diversified product lines. Asset Management IPO investment funds, special funds (focused on high-quality equity projects), channel-like funds, and full-chain services including unit registration, transfer, and liquidity management. Capital Markets (ECM) International placement, underwriting, follow-on offerings, cornerstone investment, and other core links, supporting investors' Wuxi Online Offline Communication Information Technology Co., Ltd. order placement functionality; also providing placing agency and investor matching services across the full lifecycle of listed companies. It should be noted that Winbull's participation in the new stock market encompasses two distinct dimensions: first, the underwriting side, such as its role as sole overall coordinator in this XUNZHONG placement, and its prior role as joint lead manager in XUNZHONG's IPO; second, the financing side, which is providing margin financing for retail IPO subscriptionsaccording to public reports, it provided approximately HK$6.4 billion in margin quota in the Mixue Bingcheng (02097) project, and ranked seventh among brokerages with approximately HK$4.809 billion in margin funds in the BLOKS (00325) project. The responsibilities and risks borne by the two are completely different and should not be conflated. In December 2025, Winbull Securities was awarded the 7th Golden Central "Best Performance in Brokerage Business Award" at the "2025 Golden Central Forum" co-hosted by GMTEight and the Hong Kong Chinese Securities Association. Frequently Asked Questions (FAQ) Q1: Is Winbull Securities a licensed broker? What is its license number? Yes. Winbull Securities International (Hong Kong) Limited is a licensed corporation with the Hong Kong Securities and Futures Commission, Central Number BRG131, holding Type 1 (dealing in securities), Type 4 (advising on securities), and Type 9 (asset management) regulated activity licenses, and is an HKEX participant (Broker Number: 3011). Investors can verify this on the SFC's public register. Q2: What is the difference between an "overall coordinator" and a "bookrunner"? The overall coordinator is the highest coordinating role in the underwriting syndicate, responsible for overall control of issuance pacing, pricing strategy, and investor allocation; the bookrunner is responsible for building and managing the order book and is a core execution role. In large IPOs, there are often multiple joint bookrunners, while there are usually only one or two overall coordinators. Q3: What is the difference between a placing and an IPO? An IPO is an initial public offering, open to public investors, requiring a complete process of prospectus issuance, public subscription, and allotment; a placing is a targeted issuance of new shares to specific independent investors, with a shorter process and higher efficiency, usually executed under a general mandate granted to the board by the shareholders' meeting, without the need to convene another shareholders' meeting. Q4: What impact does this placement have on retail investors? The placement itself is directed at independent placees, and retail investors do not directly participate in the subscription. However, the placement will bring about equity dilution (in this case, the chairman's shareholding ratio was diluted from approximately 20.52% to approximately 18.79%), and the computing power business to which the proceeds are directed will affect the company's medium- to long-term fundamentals, making it an important reference for retail investors evaluating their holdings. Q5: What exactly does Winbull Securities' capital markets business do? It covers core ECM links including international placement, underwriting, follow-on offerings, and cornerstone investment, while also providing full-lifecycle services such as placing agency and investor matching for companies planning to list. Q6: Which IPO projects has Winbull Securities participated in previously? Publicly verifiable projects include: XUNZHONG (2597.HK) IPO in July 2025, in which Winbull served as one of the joint lead managers; in the H-share placement of the same company in September 2026, its role was upgraded to sole overall coordinator and sole placing agent. In addition, in popular new stocks such as Mixue Bingcheng (02097) and BLOKS (00325), Winbull participated by providing margin financing for IPO subscriptions (this is on the financing side, not an underwriting role).