Sterling Group Holdings Limited (1825) has released details of a proposed capital reorganisation and change in board lot size. According to the announcement, the extraordinary general meeting (EGM) is set for 2 March 2026 to seek shareholder approval.

The capital reorganisation includes a share consolidation on the basis of every ten shares of par value HK$0.04 consolidating into one share of par value HK$0.40, reducing the number of issued shares from 414,720,000 to 41,472,000 (assuming no changes in share capital before the EGM). Subsequently, the par value of each consolidated share is to be reduced from HK$0.40 to HK$0.01, which consolidates and subdivides the authorised share capital from 250,000,000 consolidated shares into 10,000,000,000 new shares of par value HK$0.01 each.

The announcement mentions that the effective date for the proposed capital reorganisation is scheduled for 16 March 2026, pending required approvals. After completion, the board lot size for trading on the Stock Exchange is expected to change from 2,500 existing shares to 2,000 new shares. Shareholders can exchange their existing share certificates for new ones free of charge from 16 March 2026 until 24 April 2026, after which a service fee will apply. The existing share certificates will remain valid evidence of shareholding but will not be accepted for delivery, trading, and settlement after 22 April 2026.

The board of directors states that the capital reorganisation is intended to facilitate trading activities and maintain a more orderly market price, while the change in board lot size seeks to comply with recent recommendations regarding standardised board lot units. Shareholders are advised to refer to the official circular for details and to note the relevant dates and procedures should the proposals be approved at the EGM.