POLYFAIR HLDGS (08532) announced a proposed capital reorganization involving share consolidation, capital reduction, and share subdivision. The board recommended consolidating every 10 issued and unissued existing shares with a par value of HK$0.01 each into 1 consolidated share with a par value of HK$0.10.

Following the share consolidation, the company plans to implement a capital reduction by: (a) canceling any fractional consolidated shares resulting from the consolidation; and (b) reducing the issued share capital through a HK$0.099 capital repayment per consolidated share, lowering the par value from HK$0.10 to HK$0.001 per share. The capital reduction will generate approximately HK$8.4026 million in reserves, which may be utilized as permitted under applicable laws and the company's articles of association.

After the capital reduction takes effect, each authorized but unissued consolidated share (HK$0.10 par value) will be subdivided into 100 new shares with a par value of HK$0.001 each. These new shares will carry equal rights in all respects under the company's constitutional documents.

Currently, the existing shares trade on the Stock Exchange in board lots of 8,000 shares. Upon completion of the share consolidation, the board lot size will be adjusted from 8,000 existing shares to 16,000 consolidated shares.