Shandong Extreme Vision Technology Co., Ltd. (EXTREME VISION) has entered into an Investment Management Agreement with CITIC Securities Asset Management (HK) Ltd. (CSAM) to deploy up to US$7.46 million of the company’s surplus funds under a discretionary account structure. The agreement was executed on 3 September 2026 after market hours.
Under the mandate, CSAM receives full discretion to manage the “Account Assets” within pre-agreed investment guidelines. Eligible instruments include medium-risk or lower funds, fund-linked notes, liquidity-management instruments, and medium-risk convertible-bond strategy structured notes, each of which may account for as much as 100% of the account’s net asset value (NAV). No leverage is allowed at the account level, although underlying funds or structured notes may employ leverage up to 75% of their own NAV with a 400% gross-exposure cap.
The investment is funded entirely from internal resources. Management targets an indicative annualised return of roughly 6%, referencing historical performance of comparable portfolios, though no return is guaranteed.
Compensation to CSAM comprises: • Management fee: 1.00% per annum of the account’s monthly NAV, payable semi-annually in arrears. • Performance fee: 10% of net new profit, subject to a 6% annual hurdle rate and a high-water-mark mechanism. EXTREME VISION will also bear custody, valuation, brokerage, transaction and related costs.
Earlier in the 12-month period, the company invested approximately US$1.50 million in the CITIC Lyon USD Money Fund, a sub-fund of CITIC Securities Global Public Fund OFC. All units were subsequently redeemed, generating a return of about US$0.00 million (US$1,488).
Because both the new Investment Management Agreement and the prior fund subscription were executed within a 12-month window and involve CITIC Group entities, Hong Kong Listing Rule 14.22 requires their aggregation. The combined size exceeds 5% but is below 25% of the applicable percentage ratios, classifying the transaction as “disclosable” and subject to announcement and reporting obligations under Chapter 14 of the Listing Rules.
Management views the mandate and the prior fund investment as components of the group’s broader treasury strategy aimed at optimising returns on excess liquidity while maintaining moderate risk and sufficient flexibility for future cash needs.
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