On August 14, 2026, CHINA HK POWER (00931) announced that it has entered into a subscription agreement with Spark Industrial Group (Hong Kong) Co., Ltd. (Spark Industrial). Under the terms, Spark Industrial has conditionally agreed to subscribe for, and the company has conditionally agreed to allot and issue, a total of approximately 1.487 billion new shares at a subscription price of HK$0.267 per share.

The subscription shares will represent approximately 15.42% of the enlarged total issued share capital. The subscription price of HK$0.267 per share represents a discount of approximately 7.9% to the closing price of HK$0.29 per share on August 14, 2026.

The total gross proceeds and net proceeds from the issuance of the subscription shares are estimated to be approximately HK$397 million and HK$397 million, respectively. The company intends to use the net proceeds (after deducting commissions and estimated expenses) for general working capital purposes, including investing in the group, repaying current liabilities, and other general administrative and operating expenses.

Spark Industrial will collaborate with the company to establish a HK$10 billion special fund in Hong Kong to support the group's business layout and development in Mainland China and globally. The company will issue separate announcements regarding any material progress of the special fund, including the signing of formal agreements, in accordance with Listing Rules requirements.

The directors believe the subscription presents a good opportunity to expand the company's shareholder base and capital base. Additionally, the net proceeds from the subscription will enhance the group's financial position.