Central China MT Announces Equity Placement to Raise Capital for Expansion

Central China MT (SEHK: 09982) has entered into a subscription agreement with two investors.

The agreement, dated June 18, 2026, involves the issuance of a total of 773 million new shares to subscribers Star Bliss Investment Limited and Regulus Culture Limited at a price of HK$0.09 per share.

The gross proceeds from this placement are expected to be approximately HK$69.57 million, with net proceeds estimated at HK$69.20 million after deducting related expenses, equating to a net issue price of HK$0.09 per share.

The company has been actively monitoring structural opportunities within the industry and exploring collaborations with asset management companies and local distressed asset relief funds to create synergies.

This strategy aims to provide integrated solutions for revitalizing non-performing assets and distressed projects while developing specialized capabilities in distressed project management.

Consequently, the subscription by the first investor is viewed as a strategic move to foster cooperation by combining the group's property project management expertise with the investor's experience and deal-sourcing capabilities in the distressed asset sector.

This potential strategic partnership is expected to provide the group with greater access to distressed project opportunities in China and Hong Kong, enhancing its ability to offer value-added restructuring and revitalization services.

The funds raised from the placement will support the group's expansion into distressed real estate project management and investments in technological innovation to improve the efficiency and productivity of its property services.

Therefore, the investment is anticipated to strengthen the group's competitive position, diversify its revenue streams, and drive long-term sustainable growth.

It also signifies the investors' confidence in the group's future development and prospects.

The board of directors believes the placement will bolster the group's capital base and enhance its financial flexibility, thereby supporting its business development.

The placement also presents a valuable opportunity to further improve the group's overall financial position.