Lingbao Gold Group Company Ltd. (3330) has issued a supplemental announcement highlighting its plan to subscribe for 50%+1 share of equity interest in the Target Company for approximately AUD370.00 million. This follows earlier announcements dated 10 December 2025 and 30 December 2025 regarding the same transaction.

According to the announcement, the subscription price is set below the appraised value of USD362.00 million (equivalent to AUD554.00 million) provided by an independent professional valuation firm. The valuation firm primarily adopted a discounted cash flow approach, applying a discount rate of 15.9% while also cross-checking the result with market-based methods. Key factors considered include the Simberi gold mine’s mining lease extension to 2038 and future sulfide resource development potential.

The transaction structure stipulates that any outstanding loans of the Target Company, which were approximately USD162.90 million as of 30 June 2025, must be fully settled before completion. Upon closing, the Target Company is expected to become a non-wholly owned subsidiary of Lingbao Gold, with its financial results consolidated into the group's accounts.

The company noted that 30% to 40% of the subscription amount will be financed from funds raised in previous rounds, including approximately HKD151.00 million from a share placement in March 2025 and around HKD421.00 million from zero-interest convertible bonds issued in December 2025. Lingbao Gold will continue to assess a mix of additional bank loans and refinancing options to optimize costs and drive long-term growth.