Zi Yuan Yuan(08223.HK) plans to issue approximately 9.09% at a discount, distributing a total of 86 million shares with a net raise of 42.5 million HKD

Gelonghui, March 9 — Zi Yuan Yuan (08223.HK) announced that on March 9, 2026, the company entered into a subscription agreement with the subscribers. Under this agreement, the company agrees to allot and issue, and the subscribers conditionally agree to subscribe for a total of 86 million shares, representing 20.0% of the company’s total issued share capital as of the date of this announcement; (ii) after the issuance of the subscription shares, the company’s total issued share capital will be approximately 16.67%. The subscription price per share is HKD 0.50, which is about a 9.09% discount to the last trading price of HKD 0.55 per share reported on the Hong Kong Stock Exchange on the last trading day before (i); and (ii) approximately a 19.35% discount to the average closing price of about HKD 0.62 per share reported on the Hong Kong Stock Exchange over the last five consecutive trading days before the subscription agreement date.

The total proceeds from the subscription will be HKD 43 million, with net proceeds of approximately HKD 42.5 million (after deducting expenses related to the subscription). The directors intend to use the net proceeds for the group’s operating capital, with about 20% allocated to cover ongoing administrative and operational expenses, and approximately 80% to purchase medical devices and consumables for the group’s trading business.