China Ruyi to Raise HK$2.57 Billion via Zero-Coupon Convertible Bonds for Expansion and Debt Repayment

China Ruyi Holdings Limited ( (HK:0136) ) has shared an announcement.

China Ruyi Holdings Limited has agreed to issue HK$2.574 billion of zero-coupon convertible bonds due 2027 under its general mandate, with a sole lead manager subscribing for the entire amount and an initial conversion price set at HK$2.60 per share, with the resulting conversion shares ranking pari passu with existing shares. The company plans to use the estimated HK$2.548 billion in net proceeds to repay debt, part-fund the acquisition of a 30% stake in Beijing Yonghang Technology Company Limited, support strategic investments and acquisitions, bolster working capital for its gaming operations, and finance the production of drama series for streaming platforms; the bonds will be listed on the Vienna Stock Exchange, while the conversion shares will be listed in Hong Kong, in a move that strengthens the group’s balance sheet and funds expansion across its core digital entertainment and gaming businesses.

The most recent analyst rating on (HK:0136) stock is a Hold with a HK$2.50 price target. To see the full list of analyst forecasts on China Ruyi Holdings Limited stock, see the HK:0136 Stock Forecast page.

More about China Ruyi Holdings Limited

China Ruyi Holdings Limited is a Bermuda-incorporated company listed in Hong Kong (Stock Code: 136) that operates in the entertainment and digital media sector, with business lines including gaming and the production of drama series for streaming platforms, and is also pursuing technology-related investments such as an equity stake in Beijing Yonghang Technology Company Limited.

Average Trading Volume: 60,063,158

Technical Sentiment Signal: Sell

Current Market Cap: HK$39.82B

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