NEW CONCEPTS (02221) announced that the board of directors has proposed a share consolidation on the basis of every 10 issued existing shares being consolidated into 1 consolidated share. The number of consolidated shares in the company's issued share capital will be reduced to the nearest whole number by not dealing with fractional consolidated shares that would otherwise arise.
Currently, the existing shares are traded on the Stock Exchange in board lots of 4,000 existing shares per board lot. Upon the share consolidation becoming effective, the board lot for trading the consolidated shares will remain at 4,000 consolidated shares.
On August 25, 2025 (after trading hours), the company (as issuer) entered into a capitalization agreement with Mr. Zhu Yongjun, Chairman and Executive Director (as subscriber), whereby the company will issue 10 million capitalization shares to Mr. Zhu Yongjun at a price of HK$1.00 per capitalization share to settle part of the outstanding amounts owed by the company to Mr. Zhu Yongjun. Under the capitalization agreement, the subscription price of HK$10 million payable by Mr. Zhu will be satisfied by way of set-off against the equivalent amount of outstanding liabilities.
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