According to the Zhitong Finance App, Insili Intelligence (03696) announced that on August 27, 2026 (after the trading period), the company and the manager have signed a subscription agreement. According to this, and after certain conditions set out in it are met, the company has agreed to issue, and the manager has agreed to subscribe and pay, or prompted the subscriber to subscribe and pay for bonds with a total principal amount of US$305 million.
The initial conversion price is HK$58.07 per share, which is approximately 23.5% premium over (i) the closing price of HK$47.02 per share as reported by the Hong Kong Stock Exchange on August 27, 2026 (the date of the subscription agreement). Assuming that the bonds are all converted to bonds at the initial conversion price of HK$58.07 per share, the bonds can be converted to approximately 41.7747 million shares, which is equivalent to approximately 7.07% of the Company's issued share capital on August 27, 2026 (the last practical date before publication of this announcement) and approximately 6.60% of the Company's issued share capital expanded through full conversion bonds.
After the issuance of the bonds is completed, the total proceeds from the subscription will be approximately US$305 million, while net proceeds from the subscription will be approximately US$302 million after deducting the manager's commission and other estimated expenses payable in connection with the sale. The Company intends to use these proceeds as follows: (a) approximately 40% of the net proceeds will be used to fund clinical trials for self-developed drug candidates; (b) approximately 30% of the net proceeds will be used to expand the Group's R&D team; (c) approximately 15% of the net proceeds will be used to fund the development and training of cutting-edge scientific SOTA basic models; and (d) approximately 15% of the net proceeds will be used to supplement working capital and other corporate purposes.