Extraordinary Lingyue (00933) plans to privatize Baoshilong International (00592) through an agreement arrangement

Zhitong Finance App News, Extraordinary Leadership (00933), Offeror Longyue Consumer Products Co., Ltd. and Baoshilong International (00592) jointly announced that on October 14, 2024, Extraordinary Board of Directors and Offeror Board of Directors requested the Board of Directors of Baoshilong to propose to the plan shareholders that the offender privatize Baoshilong in the form of an agreement arrangement in accordance with section 99 of the Company Law, involving (i) canceling the planned shares to reduce Baoshilong's issued share capital on the effective date of the plan. The cost is that every 5 planned shares cancelled will be allotted and issued 1 share of Baoshilong shareholders, (ii) in Immediately after the reduction in the issued share capital as described in (i) above, the issued share capital of Baoshilong was restored to the amount immediately before the cancellation of the planned shares by issuing the same number of shares (cancelled) as planned to the offender, and the accounts from Baoshilong's accounts due to the reduction in the issued share capital described in (i) above were paid, and (iii) after the effective date of the plan, the listing status of Baoshilong shares on the Stock Exchange was withdrawn in accordance with section 6.15 of the listing rules. After the plan comes into effect, the offeror will own all of Baoshilong's issued share capital on the effective date of the plan.

Based on the closing price of HK$0.54 per Extraordinary Share reported on the Stock Exchange on the last trading day, the value of the plan cost is equivalent to approximately HK$0.108 per planned share, or approximately 12.20% off from the closing price of HK$0.123 per share of Baoshilong shares reported on the last trading day.

Furthermore, Extraordinary Lingyue (00933) and Baoshilong International (00592) have applied to the Stock Exchange to resume stock trading at 9:00 a.m. on October 17, 2024.

According to reports, the offender is an indirect wholly-owned subsidiary of Extraordinary Leadership (00933). The offender is mainly engaged in investment holding. On the date of the announcement, the offender held approximately 2.09 billion Baoshilong shares (accounting for about 62.91% of the total number of Baoshilong shares already issued).