Hong Kong-listed FEG Holdings Corporation Limited has unveiled a non-underwritten rights issue aimed at raising up to HK$35.10 million before expenses. Key details are as follows:

1. Offer structure • Basis: one rights share for every two existing shares held on the 28 April 2026 record date. • Issue size: up to 164.00 million new shares, representing 50.00% of current issued capital and 33.33% of the enlarged share base. • Subscription price: HK$0.214 per rights share, a discount of 28.67% to the 14 April closing price of HK$0.300 and 67.97% below the latest unaudited NAV per share of HK$0.668. • Net proceeds: about HK$33.52 million after estimated expenses of HK$1.58 million, translating to a net price of roughly HK$0.204 per rights share. • No excess application; unsold entitlements will be placed by Pinestone Securities on a best-efforts basis under compensatory arrangements.

2. Use of funds All net proceeds are earmarked for upfront costs of a RMB45.29 million interior renovation contract (Yi’ao Hotel, Xiamen), to be executed by 51%-owned Hangzhou Yingchuang Construction Engineering. Estimated construction cost is RMB39.00 million, with deployment scheduled from July 2026 and project completion targeted for September 2027.

3. Timetable highlights • Nil-paid trading: 4–11 May 2026 • Latest payment/acceptance: 14 May 2026 • Placing window for unsubscribed shares: 19–21 May 2026 • Results announcement: 1 June 2026 • Fully paid trading commences: 3 June 2026

4. Capital impact Issued shares will rise from 328.00 million to a maximum 492.00 million. Qualifying shareholders taking up their full allotment will avoid dilution; non-participating holders could see their stake fall by up to one-third.

5. Recent capital activities The company raised HK$31.10 million via two share placings in September and November 2025, both fully applied to working capital.

Management cites tight liquidity (HK$2.72 million cash as of 28 February 2026) and the need to finance mainland expansion as rationale for the discounted rights issue. The offer proceeds regardless of subscription level, subject to Stock Exchange approval of listing for the rights shares.