South China Financial (HKG:0619) said substantial shareholder and chairman Ng Hung Sang agreed to extend the maturity on a previously purchased bond, according to a Hong Kong bourse filing Thursday.

Shares of the jewelry retailer gained over 3% in morning trade Friday.

The maturity date on HK$50 million in outstanding convertible bonds would be extended to June 30, 2029, from June 30, 2026, pending shareholder approval, the firm said.

Meanwhile, the firm negotiated an extension to HK$89.8 million in bonds previously issued to South China Holdings (HKG:0413).

The maturity of the bonds would be extended for three years to Jan. 12, 2029, in exchange for splitting the interest rate in two portions: 1% for the first three years, and 2% for the remaining three.

The conversion price on the bonds would also reduce to HK$0.28 per share from HK$0.32 per share previously.

The changes are subject to shareholder approval.

Ng is a controlling shareholder of South China Holdings and serves on the boards of both companies as chairman.

Shares of South China Holdings gained nearly 3% in morning trade Friday.