Coolpad Group Limited has entered into a placing agreement for up to 66.00 million new shares at HK$0.53 per share under its existing general mandate, targeting gross proceeds of HK$34.98 million and net proceeds of approximately HK$33.98 million after fees and expenses.

The company intends to deploy 100% of the net proceeds to expand its planned AI infrastructure and solutions business—an extension of Coolpad’s current technology hardware operations rather than a new standalone segment.

Use of funds is earmarked as follows: • HK$31.60 million (93%) for procuring complete AI server units and core components, primarily 2U/4U/5U/6U servers and multi-GPU configurations, to shorten delivery cycles and meet anticipated customer demand. • HK$1.70 million (5%) to build solution-delivery, testing-platform and implementation capabilities by leveraging existing R&D, engineering and supplier support. • HK$0.68 million (2%) for market development and channel promotion, focusing on government, SME and selected overseas markets such as Southeast Asia.

Management underscores that the business model will mirror the group’s established B2B smart-device framework, utilising its global supply chain, manufacturing expertise and telecom-operator channels. Revenue is expected to derive principally from hardware sales bundled with private deployment and computing-power solutions, with value-added services embedded in product pricing.

The proceeds are scheduled for deployment within the six months ending 31 December 2026. Coolpad does not currently anticipate presenting the AI infrastructure initiative as a separate reportable segment given its early stage.

Completion of the placing remains subject to the conditions set out in the agreement; the transaction may or may not proceed. Shareholders and prospective investors are advised to exercise caution when trading the company’s shares.