HUA HONG SEMI finalizes issuance of A-shares to raise RMB 7.556 billion for the acquisition of Huali Micro, excluding the cash portion

HUA HONG SEMI (01347.HK)(688347.SH) announced that on December 31, it entered into a supplementary agreement with the sellers (Hua Hong Group, Shanghai Integrated Circuit Fund, National Integrated Circuit Industry Investment Fund II, and Guotou Xian Dao Fund), whereby the final total consideration for the acquisition of the remaining 97.4988% equity of Huali Microelectronics will include 190.7 million shares of consideration stock and will not include any cash portion.

At the same time, it was resolved to propose a non-public issuance of RMB shares to raise a total of RMB 7.556 billion, which does not exceed 100% of the final total consideration for the proposed acquisition. The issue price is RMB 43.34, representing a discount of 59.82% compared to today's A-share closing price (on the 31st)