HUANXI MEDIA raises HKD 180 million by issuing new shares and warrants to third parties, establishing a strategic cooperation framework

HUANXI MEDIA (01003.HK) announced that it will issue 548 million new shares to independent third party C River Co, equivalent to an increase of 13.04% in the enlarged share capital, at a price of HKD 0.3 per share, representing a discount of 22.08% to today's (11th) closing price. At the same time, it will issue 1.889 billion warrants, each priced at HKD 0.01, with an exercise price of HKD 0.44, resulting in a total cost of HKD 0.45, which is at a premium of 16.88% compared to today's closing price. The net proceeds are approximately HKD 183 million, intended for investment in enhancing the company's use of advanced technology; investment in film and television copyright business; and general working capital.

Additionally, the company has entered into a strategic cooperation framework agreement with independent third party Jieyue Xingchen, under which both parties plan to establish a joint venture as a cooperation platform for data collaboration and joint exploration of large model technology in areas such as film and television creation, interactive entertainment, game development, and peripheral intellectual property derivatives