SF HOLDING (06936) has announced an adjustment to the conversion price for its HK$2.95 billion zero-coupon guaranteed convertible bonds due 2026. As previously disclosed in the interim dividend announcement, the board declared an ordinary interim dividend of RMB 0.46 per share (equivalent to RMB 4.6 per 10 shares) for the six months ending June 30, 2025, with a record date of September 15, 2025. The payment of this 2025 interim dividend initially resulted in a potential adjustment to the then-effective conversion price of less than one percent, which is classified as a minor adjustment. According to the bonds' terms and conditions, (i) no adjustment to the conversion price was made for this minor change, and (ii) this minor adjustment was carried forward to be considered in any subsequent conversion price adjustments.

As announced in the voting results, shareholders have approved an ordinary final dividend of RMB 0.43 per share (equivalent to RMB 4.3 per 10 shares) for the year ending December 31, 2025. The record date for this 2025 final dividend is set for May 18, 2026, for H shares. Under the terms and conditions, the payment of the 2025 final dividend will trigger an adjustment to the conversion price.

Consequently, assuming no other events that would trigger a conversion price adjustment occur on or before the H share record date, the conversion price will be adjusted from HK$48.47 per H share to HK$47.43 per H share. This adjustment accounts for the payment of both the 2025 interim dividend and the 2025 final dividend to shareholders. The revised conversion price will take effect on May 19, 2026, the day immediately following the H share record date.