Coastal Homeland (01124) plans to "10-to-1" merger of shares and change the trading unit per board lot to 10,000 shares

According to the Zhitong Finance App, Coastal Home (01124) issued an announcement. The board of directors proposed a share merger. The basis is that the issued and unissued existing shares with a face value of HK$0.1 per 10 shares will be consolidated into 1 consolidated share with a face value of HK$1.0 per share.

As of the date of this announcement, the company had 4.146 billion issued existing shares that were fully paid or recorded as fully paid. Assuming that no shares will be issued or repurchased from the date of this announcement until the effective date of the share merger, the company will have 414.6 million fully paid up or recorded as fully paid up consolidated shares after the share merger comes into effect.

On the date of this announcement, existing shares were traded on the Stock Exchange with 2,000 existing shares per trading unit. The board of directors recommended that after the share merger comes into effect, the trading unit for each lot traded on the Stock Exchange will be changed from 2,000 existing shares to 10,000 consolidated shares.

Based on the closing price of HK$0.023 per current share (equivalent to HK$0.23 per consolidated share) as reported on the date of this announcement, the market value of each trading unit for 10,000 consolidated shares is HK$2,300 (assuming that the share consolidation and change of trading units per lot have taken effect).