Guan Chao Clarifies Valuation and Pricing for Guangzhou Haote Share Subscription

An update from Guan Chao Holdings Limited ( (HK:1872) ) is now available.

Guan Chao Holdings Limited has clarified the valuation underlying its previously announced subscription for 5,413,652 new shares in Guangzhou Haote Energy Saving Technology Co., Ltd., revising the target company’s pre-money equity value to RMB2.96 billion. Based on this updated figure, the implied pre-money market value per share is about RMB30.62, meaning the agreed subscription price of RMB25.86 per share reflects a discount of roughly 15.55%, which may enhance the transaction’s attractiveness for Guan Chao and its shareholders.

The company also disclosed further details on the independent valuation work performed by Roma Appraisals Limited, explaining that the valuer adopted a market-based approach using price-to-sales multiples after determining that income-based and asset-based methods were unsuitable given the lack of forecasts, earnings volatility, and limited relevance of asset levels. This added transparency on methodology and assumptions is aimed at supporting investor confidence in the fairness of the pricing and the strategic rationale for Guan Chao’s investment in the energy-saving technology sector.

More about Guan Chao Holdings Limited

Guan Chao Holdings Limited, incorporated in the Cayman Islands and listed in Hong Kong, is an investment holding company. Through its subsidiaries, it pursues strategic investments, including stakes in technology and energy-saving businesses such as Guangzhou Haote Energy Saving Technology Co., Ltd., to expand its exposure to environmental and efficiency-focused sectors.

Average Trading Volume: 2,090,981

Technical Sentiment Signal: Buy

Current Market Cap: HK$4.64B

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