MOISELLE INT'L plans to issue convertible bonds with a total principal amount of HKD 25 million, resuming trading on October 6

According to the announcement from MOISELLE INT'L (00130), on October 3, 2025, the company and creditor New First Investments Limited entered into a conditional subscription agreement regarding the issuance of non-listed convertible bonds with a total principal amount of HKD 25 million, which will be settled by cash and offsetting outstanding amounts.

Based on the preliminary conversion price of HKD 0.3 per share for the convertible shares, when the conversion rights attached to the convertible bonds are fully exercised, a maximum of 83.33 million convertible shares will be allotted and issued, accounting for approximately 22.45% of the enlarged issued share capital of the company after the allotment and issuance of the convertible shares upon full exercise of the conversion rights attached to the convertible bonds.

The group is primarily engaged in the retail of high-end and mid-to-high-end women's fashion apparel. In recent years, the group has faced a challenging operating environment and has continued to incur operational losses. The group has utilized its portfolio of commercial and residential properties to obtain financial resources from commercial banks. Given the severe conditions in the commercial lending market, the group hopes to obtain financial resources from the company's controlling shareholder. Additionally, to maintain its competitiveness in an uncertain economic environment, the group needs to have sufficient financial resources.

The board believes that converting the outstanding amounts owed by the company to creditors into convertible bonds is in the company's best interest. The board also considers that the group's financial position will be strengthened upon the conversion of the convertible bonds, thereby reducing the group's debt levels. The existing liabilities that the group is required to repay will also be converted into debt with a fixed term and established at a fair and reasonable interest rate, which will allow for better planning of the group's working capital.

As part of the total subscription price, the proceeds from the issuance of convertible bonds amounting to HKD 14.9 million will be used to offset the outstanding amounts through an equivalent benchmark. The company intends to use the net proceeds of approximately HKD 14.5 million for its general working capital and to repay borrowings.

In addition, the company has applied to the Stock Exchange for the resumption of trading of its shares from 9:00 AM on October 6, 2025