Sandmartin International Holdings Limited (482) has released details of a proposed capital reorganisation and a one-for-one rights issue at a subscription price of HK$0.75 per share. The company intends to reduce the par value of its shares from HK$0.10 to HK$0.10 per adjusted share after a consolidation of every ten existing shares into one, followed by a capital reduction and share subdivision. Approximately HK$110.74 million of paid-up capital would be cancelled and credited to its contributed surplus account.

According to the announcement, if the rights issue is fully subscribed, up to 123.04 million rights shares could be issued, raising approximately HK$92.30 million in gross proceeds. Net proceeds are expected to be about HK$90.20 million. The company plans to apply the proceeds primarily to repay outstanding loans. The special general meeting (SGM) is scheduled for 23 March 2026, subject to conditions including approval of the reorganisation and the rights issue by independent shareholders. Subject to fulfillment of conditions, dealings in nil-paid rights shares are expected to take place from 13 April to 20 April 2026, and dealings in fully-paid rights shares are likely from 12 May 2026.