Capital VC Limited announced that it has entered into a placing agreement with the placing agent on a best effort basis to issue convertible bonds for an aggregate gross proceeds of HKD 21,000,000 on September 7, 2022. The transaction will include participation from not less than six placees which includes independent individual, corporate and institutional investors. The bonds carry fixed rate of interest of 1.5% per annum payable on maturity.

The bonds will mature on the date falling on the second anniversary of the date of issue of the bonds. The bonds are convertible into the maximum number of 84,000,000 shares of the company at a conversion price of HKD 0.25. The bonds are redeemable by the company at 102% of the face value of the bonds prior to the maturity date and at 100% of the face value of bonds on the maturity date.