SILKWAVE INC (00471) announced that on September 8, 2025, the company (as issuer) entered into subscription agreements with subscribers (Mr. Yu Zhuangzhu and Ms. Wang Lisu). The subscribers have agreed to subscribe for, and the company has agreed to issue, a total of 19.0639 million new shares at a total subscription price of approximately HK$11.438 million, with a subscription price of HK$0.60 per subscription share.

The subscription price represents a discount of approximately 17.81% to the closing price of HK$0.73 per share as quoted on the Stock Exchange at 4:00 p.m. on September 8, 2025 (being the date of the subscription agreement).

The 19.0639 million subscription shares represent approximately 20.00% of the company's existing issued shares and approximately 15.89% of the enlarged issued share capital. The subscription shares will be issued under the general mandate and will rank pari passu with all existing shares.

The gross proceeds from the issue of subscription shares are expected to be approximately HK$11.438 million, while the net proceeds (after deducting expenses) are expected to be approximately HK$11.3 million.

The company intends to use the net proceeds as general working capital of the group, which is expected to be applied for the following purposes: approximately HK$4 million for payment of professional fees; approximately HK$3 million for enhancing cash flow of the trading business; and approximately HK$4.3 million for payment of staff salaries, office rental, utilities and other operating expenses. The proceeds are expected to be fully utilized by December 2025.