Coolpad Group Limited has signed a best-efforts placing agreement with a licensed Hong Kong securities firm to issue up to 66.00 million new shares at HK$0.53 each.

The proposed issue represents 19.88% of Coolpad’s existing 331.93 million shares and 16.59% of the enlarged 397.93 million-share capital base. The placing price is set at a 15.87% discount to the 17 July 2026 closing price of HK$0.63 and an 18.71% discount to the five-day average of HK$0.652.

Gross proceeds are expected at HK$34.98 million, with estimated net proceeds of HK$33.98 million after a 1.75% placing commission and related expenses, implying a net placing price of roughly HK$0.51 per share. Management intends to deploy the entire net amount over the six months ending 31 December 2026 to procure AI hardware and equipment that will serve as core inventory for the company’s expanding AI infrastructure solutions business.

The placement will be executed under the existing general mandate, which has capacity for 66.39 million shares; therefore, no additional shareholder approval is required. Application for listing and dealing of the new shares on the Stock Exchange will be made. Completion is conditional on standard approvals, including Hong Kong listing consent, and may be terminated by the placing agent under specified adverse events.

Post-placement, founder Chen Jiajun’s indirect stake will fall from 23.58% to 19.67%, while new placees will collectively own 16.59%. Public shareholders (excluding placees) will hold 63.74%.

The board views the placement as an opportunity to broaden the shareholder base, enhance trading liquidity, and strengthen the capital position to support AI-related growth initiatives. Shareholders and potential investors are advised to exercise caution, as completion remains subject to conditions.