Understanding the Market | CHINA HANKING rises over 17% with a 14.7% discount to issue new shares to Zijin Mining, netting approximately HKD 231 million

CHINA HANKING rose over 17%, reaching an intraday high of HKD 4.48, a new high. As of the time of publication, it rose 17.44% to HKD 4.31, with a trading volume of HKD 11.6222 million. In terms of news, CHINA HANKING announced the issuance of 25 million and 50 million subscription shares to Zijin Mining's two subsidiaries, Zijin Global Fund and Jinshan, accounting for approximately 3.69% of the expanded share capital, with an issue price of HKD 3.13 per share, a discount of about 14.7% compared to the closing price of HKD 3.67 on September 22. The total amount raised is approximately HKD 234.75 million, with a net amount of approximately HKD 231.45 million, intended to be used together with the company's own funds to support the development of the Australian gold mining project. The announcement pointed out that the company is in the process of spinning off its subsidiary Hanking Gold Limited (CHINA HANKING Gold) for a listing on the main board of the Hong Kong Stock Exchange. In this process, to meet the funding needs for CHINA HANKING Gold's future development of the Australian gold mining project, the company plans to increase the capital of CHINA HANKING Gold. The funds raised from the subscription will be injected into CHINA HANKING Gold in the form of capital increase, to support the development of the Australian gold mining project