PATEO (02889) has announced that on April 27, 2026, after trading hours, the company entered into a subscription agreement with the subscriber, Sanfeng Holdings Management Limited. Under the agreement, the subscriber conditionally agreed to subscribe, and the company conditionally agreed to issue and allot a total of 895,980 subscription shares at a price of HK$127.35 per share. The number of subscription shares represents approximately 1.18% of the enlarged issued H shares of the company following the allotment and issuance of the subscription shares. The gross proceeds from the subscription are expected to be approximately HK$114.1 million. The net proceeds are anticipated to be around HK$113.6 million. On this basis, the net price per subscription share is estimated to be approximately HK$126.80. The company plans to allocate the net proceeds from the subscription as follows: approximately 60% will be used for AI technology application, product research and development, and related business expansion; and approximately 40% will be allocated for working capital and general corporate purposes.
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