SINOHYTEC (02402) fell more than 4%, trading at HK$25.7 by press time with a turnover of HK$2.3092 million. The decline follows the company's announcement of a proposed placement of up to 8.88 million new H-shares, representing approximately 3.69% of its enlarged issued share capital. The placement price is set at HK$22.68 per share, a discount of about 14.99% to the closing price on December 15.

The gross proceeds are estimated at HK$201 million, with net proceeds around HK$198 million. Approximately 90% of the funds will be used to repay 53 bank loans, ranging from HK$59,000 to HK$128 million, maturing between December 2025 and September 2026. The remaining 10% will be allocated for general working capital purposes.