JAKOTA CAPITAL (01468) has announced a proposal to implement a capital reorganization. The plan involves a share consolidation, a capital reduction, and a subsequent share subdivision.
The Board has recommended a share consolidation on the basis of consolidating every 5 issued and unissued shares with a par value of HK$0.10 each into 1 consolidated share with a par value of HK$0.50 each.
Following the effectiveness of the share consolidation, a capital reduction and share subdivision will be implemented. This process includes: (i) A reduction of the company's issued share capital by canceling HK$0.40 of the paid-up capital per consolidated share, thereby reducing the par value of each issued consolidated share from HK$0.50 to HK$0.10. (ii) Immediately after the capital reduction, each authorized but unissued consolidated share with a par value of HK$0.50 will be subdivided into 5 new shares with a par value of HK$0.10 each.
The company's shares are currently traded on the Stock Exchange of Hong Kong in board lots of 10,000 shares each. After the share consolidation is implemented, the board lot size for trading the consolidated shares will remain unchanged at 10,000 consolidated shares per board lot.
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