BAIRONG-W (06608) announced that on April 20, 2026, after trading hours, the company entered into a warrant placement agreement with a placing agent. The agent conditionally agreed to use its best efforts to place up to 37,393,500 non-listed transferable warrants to placees, who are independent third parties. These warrants grant the right to subscribe for B shares.

The rights attached to the warrants may be exercised in whole or in part at any time during the exercise period at an initial exercise price of HK$8.70 per warrant share, subject to adjustments. Each warrant carries the right to subscribe for one new B share.

Assuming all 37,393,500 warrants are fully exercised at the initial exercise price of HK$8.70 per warrant share and with no other changes to the company's issued share capital, a maximum of 37,393,500 warrant shares will be allotted and issued. This represents approximately 7.99% of the company's total issued shares as of the announcement date and approximately 7.40% of the enlarged issued share capital after the allotment.

The subscription rights attached to the warrants can be exercised at any time within a two-year period commencing from the warrant issue date.

If the maximum number of warrants is placed at the placing price, the gross proceeds from the warrant issuance are estimated to be approximately HK$3.7394 million, with net proceeds of approximately HK$3.0394 million. The net proceeds from the warrant issuance are expected to be used to increase research and development investment and for working capital and general corporate purposes.

Should the subscription rights attached to the maximum number of warrants be fully exercised at the initial exercise price, additional gross proceeds of up to approximately HK$325 million are expected to be raised. The total net proceeds from the placement and the allotment and issuance of warrant shares, amounting to a maximum of approximately HK$328 million, are anticipated to be allocated as follows: approximately HK$260 million, representing about 79.26% of the total net proceeds, will be used to increase R&D investment; and approximately HK$68.104 million, representing about 20.74% of the total net proceeds, will be used for working capital and general corporate purposes.