CIFI HOLD GP signs a three-year option agreement with fund LMR, receiving an advance payment of 276 million yuan

CIFI HOLD GP (00884.HK) announced that through its wholly-owned subsidiary Spectron, it has entered into a three-year prepaid subscription option transaction with LMR, involving 142.3 million options. LMR will pay a prepaid amount of HKD 276 million on the effective date (December 19), with each option allowing the subscription of 1 share of Yongsheng Services (01995.HK) at an exercise price of HKD 1.936. In this regard, both parties have entered into a sale and swap confirmation, with Spectron agreeing to transfer 406.8 million shares of Yongsheng Services to LMR, accounting for 23.54% of its equity.

The net proceeds of HKD 276 million will be used by the group as planned to pay necessary amounts to creditors and third parties on or before the effective date of the restructuring. At the same time, Spectron will pay a minimum return of 7% annual interest on the outstanding prepaid amount. LMR's sole investor is the Cayman Islands-based fund LMR Multi-Strategy Fund Limited