Xinyi Energy has introduced a scrip dividend scheme for its interim dividend covering the six months ended 30 June 2026, giving shareholders three choices:
• Cash dividend of HK$0.021 per share. • New fully-paid shares (“Scrip Shares”) issued in lieu of cash. • A combination of cash and Scrip Shares.
Key conversion terms • Reference price: HK$0.78 per Scrip Share, set at 95% of the HK$0.827 average closing price recorded on the Stock Exchange from 13–19 August 2026. • Exchange ratio: Every HK$0.021 dividend receivable converts into Scrip Shares at HK$0.78, with fractional entitlements rounded down.
Potential cash outflow and dilution • With 8.52 billion shares outstanding on the 19 August record date, a full cash election would require a payout of HK$178.94 million. • A 100% scrip take-up would lead to the issue of approximately 229.41 million new shares, expanding the share base by 2.62%.
Timetable • Circular and election forms dispatched: 4 September 2026. • Election deadline: 4:30 p.m., 21 September 2026. • Share certificates and cash warrants mailed: 30 September 2026. • Commencement of trading in Scrip Shares: 2 October 2026.
Regulatory and listing conditions Issuance of Scrip Shares is subject to approval for listing by the Hong Kong Stock Exchange. The new shares will rank pari passu with existing shares but are not entitled to the current interim dividend.
Shareholder considerations China Securities Depository and Clearing Corp. (China Clear) holds 1.03 billion Xinyi Energy shares (12.14% of total) for PRC Southbound Trading Investors, who may participate in the scheme via their intermediaries. No special arrangement will be provided for odd-lot matching. Investors should review potential disclosure obligations under Part XV of the Securities and Futures Ordinance and obtain professional advice on tax or regulatory implications before making their election.
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