KARRIE INT'L (01050) announced that on January 29, 2026 (before the trading session), the company, the seller Bridal City Limited, and the placing agent entered into a placing and subscription agreement. According to the agreement, (i) the seller agreed to sell, and the placing agent agreed to act as the seller's agent to use its best efforts to procure placees to purchase the placing shares at the placing price of HK$2.37 per share; and (ii) the seller conditionally agreed to subscribe, and the company conditionally agreed to allot and issue subscription shares to the seller under the general mandate, at a price equal to the placing price of HK$2.37 per placing share (with the number of these subscription shares to be the same as the number of placing shares actually placed by the placing agent under the agreement).

The placing price was set at HK$2.37 per share, representing a discount of approximately 9.9% to the closing price of HK$2.63 per share as quoted on the Stock Exchange on the last trading day.

A total of 65.832 million placing shares were involved, representing approximately 3.3% of the company's existing issued share capital as of the date of this announcement and about 3.2% of the issued share capital as enlarged by the allotment and issuance of the subscription shares immediately following the completion of the subscription.

Assuming the placing shares are fully subscribed, the subscription shares will constitute approximately 3.3% of the company's existing issued share capital and about 3.2% of the enlarged issued share capital following the subscription.

The gross proceeds and net proceeds from the subscription are expected to be approximately HK$156 million and HK$152 million, respectively.

Consequently, the estimated net subscription price is approximately HK$2.31 per subscription share.

The company intends to use the estimated net proceeds to expand its overseas production capacity for server chassis and related peripheral products through various means, aiming to further develop its existing business segment (namely, server chassis for general and AI applications). This includes, but is not limited to, purchasing new machinery, constructing its own factory in Thailand, and pursuing mergers and acquisitions in overseas markets to meet the increasing orders for the group's AI server chassis and rack components from global data centers and leading AI infrastructure companies worldwide.