TECHSTARACQ-Z (07855) announced on December 4, 2025, that TechStar and its target company, Seyond Holdings Ltd., entered into a subscription agreement with Nio Nextev Limited, which aligns with the terms of the PIPE investment agreement. Under this agreement, the target company (as the successor entity) conditionally agreed to issue approximately 28.672 million successor shares to Nio Nextev Limited, representing 2.21% of the total post-closing successor shares. The total subscription price amounts to approximately HK$286.7 million, with each successor share priced at HK$10.00, to be completed concurrently with the closing.

Additionally, the company plans to place 8.4095 million PEF shares through multiple capital market intermediaries to professional investors, raising HK$84.095 million. The total proceeds from the permitted equity financing will be approximately HK$371 million. Net proceeds (after deducting fees and expenses, assuming full discretionary fees) are estimated at HK$360.5 million, equivalent to a net issue price of approximately HK$9.72 per permitted equity financing share.

The funds will be allocated as follows: - Approximately 60% for R&D of new LiDAR architectures, hardware, and software upgrades. - Around 20% for upgrading existing production lines. - About 10% for the successor company’s global expansion. - The remaining 10% for general corporate purposes.

Nio Nextev Limited is a Hong Kong-registered investment holding company wholly owned by NIO-SW (09866), a pioneer and leader in the premium smart electric vehicle market. NIO-SW is currently a major customer of the target company.

The successor company has applied to the Hong Kong Stock Exchange (HKEX) for approval to list and trade its shares and listed warrants on the Main Board. HKEX granted in-principle approval on November 11, 2025. Upon closing, the successor company’s shares and listed warrants will commence trading on the HKEX Main Board.