Guangzhou Hengyun Enterprises Holding Ltd announced a private placement transaction of not more than 246,629,815 A common shares for gross proceeds of not more CNY 1,500,000,000 on July 5, 2022. The transaction will include participation from not more than 35 investors including, Guangzhou High-Tech Zone Modern Energy Group Co., Ltd. who will subscribe to 39.59-60% of the issuance. The pricing reference date will be the first day of issuance. Issue price for the shares to be issued in the private placement shall not be lower than 80% of the average stock price 20 trading days before the pricing reference date. In the 12 months prior to the completion of the transaction, if Guangzhou High-Tech Zone Modern Energy Group Co., Ltd. increases its holdings in the company by more than 2% stake, the shares Guangzhou High-Tech Zone Modern Energy Group Co., Ltd. subscribes to cannot be transferred within 36 months from the issuance closing date; if not more than 2% stake, 18 months. The shares the other investors subscribe cannot be transferred within 6 months from the issuance closing date. The transaction has been approved by the 17th meeting of the company's 9th directorate and the 9th meeting of the 9th supervisory board. The transaction is subject to approval from the company's shareholders, authorized state-owned assets management agency, and from China Securities Regulatory Commission.
On the same day, the company signed the share subscription agreement with the investors.