coilmasterfreespins| Songdu Services (09608.HK) plans to discount approximately 19.5% and allocate a total of 640 million shares to raise approximately HK$125 million

Gelonghui May 22 丨 Songdu Service (09608coilmasterfreespins.HK) announced that on May 22, 2024, the company entered into a subscription agreement with the subscriber, pursuant to which the company conditionally agreed to allot and issue, and the subscriber conditionally agreed to subscribe for a total of 640 million subscription shares in cash of HK$126.72 million. The subscription price is HK$0.198 per subscription share, a discount of approximately 19.5% to the closing price of HK$0.246 on March 27. The subscribed shares represent the company's existing issued share capital as at the date of this announcementcoilmasterfreespinsand approximately 14.286% of the company's issued shares as enlarged by the allotment and issuance of subscription shares.

The total and net proceeds from the subscription are estimated to be HK$126.72 million and approximately HK$125.22 million respectively. The net proceeds raised per subscription share arising from the subscription will be approximately HK$0.196 per share. The company plans to use the net proceeds for daily operations.

The Directors believe that the Subscription provides the Group with an opportunity to strengthen its financial position and raise funds for the above purposes. In addition, the subscription will expand the company's shareholder base, thereby increasing the liquidity of shares. The directors believe that the terms of the subscription agreement are fair and reasonable and the subscription is in the overall interests of the company and its shareholders.