MOST KWAI CHUNG (SEHK: 01716) has announced a proposed share placement. Following the close of trading on July 6, 2026, the company entered into a placement agreement with a sole placing agent.

Under the terms of the agreement, the company conditionally agreed to issue and allot, and the agent conditionally agreed to use its best efforts to procure no fewer than six placees to subscribe for up to 54 million new shares at a placing price of HK$4.28 per share.

Assuming the full placement of all 54 million shares, these new shares would represent approximately 20% of the company's total issued share capital as of the announcement date. Upon completion of the placement, the new shares would account for roughly 16.67% of the company's enlarged issued share capital, assuming no other changes to the share capital occur before completion.

The placing price of HK$4.28 per share represents a discount of approximately 19.70% compared to the closing price of HK$5.33 per share on the last trading day prior to the announcement.

If all placement shares are successfully issued, the gross proceeds are expected to be approximately HK$231 million. After deducting related expenses, the net proceeds are estimated to be around HK$229 million.

The company intends to allocate the net proceeds as follows: approximately 60% will be used to establish and develop a planned new environmental protection and sustainability business; about 20% will be allocated to expanding the product and service range of the group's existing media operations; and the remaining funds will serve as general working capital for the group.