China HK Power Smart Energy Group Limited has issued supplemental information to its FY-2026 annual report, clarifying the deployment of share-placement proceeds and detailing a substantial, still-conditional option grant to Chief Executive Officer Mr. Deng Yaobo.
Share subscription under general mandate • On 10 June 2025 the company placed 43.70 million new shares at HK$0.25 each, raising net proceeds of HK$10.88 million. • All proceeds were expended by 31 March 2026 in line with prior disclosures: HK$9.56 million funded staff salaries and directors’ fees, while HK$1.32 million covered office rental and utilities. • The subscriber, Mr. Zeng Guo Bin, is an independent third party. The shares were issued on 16 July 2025 at a net price of HK$0.249 per share, versus a market close of HK$0.255 on the transaction date.
CEO option package • On 13 January 2026 the board conditionally approved a grant of 1.00 billion options to Mr. Deng under a specific mandate, equal to 13.45% of the company’s issued share capital at the grant date. • Exercise price: HK$0.482; closing market price on grant date: HK$0.470. Option life: ten years to 12 January 2036. • Vesting is split into three tranches (30% / 30% / 40%) across 2028-2030, each contingent on audited net-profit turn-around or maintenance targets and market-capitalisation hurdles (≥30 % growth for the first tranche; ≤10 % decline thresholds for subsequent tranches). • An independent valuer applied a Binomial model with Monte Carlo simulation, estimating aggregate fair value at HK$74.57 million. Only the third tranche (400 million options) carries a non-zero fair value (HK$0.1864 each) given current probability assessments; the first two tranches were assigned nil value. • The grant remains subject to Hong Kong Stock Exchange clearance and independent shareholders’ approval at an extraordinary general meeting; no options had vested or become exercisable by 31 March 2026.
Potential dilution and mandate status • If fully exercised, options outstanding under all company schemes—including the proposed CEO grant—would represent approximately 21.04 % of the weighted-average issued shares for FY-2026. • As the CEO options fall outside the existing share-option scheme, they do not consume the scheme’s mandate limit but will require separate independent-shareholder approval in accordance with Listing Rules 17.03C(3), 17.03D(1) and 17.07A.
Board and committee oversight The remuneration committee and the board have endorsed the performance-conditioned structure of the CEO grant, asserting alignment with shareholder interests. Independent non-executive directors’ views will be provided in the forthcoming circular for the EGM.
The board confirmed that the supplemental disclosures do not affect other information in the FY-2026 annual report.