Future Machine announces HK$140m rights issue for capital and strategic growth

Future Machine Limited has announced a non-underwritten rights issue, offering one rights share for every two existing shares at a subscription price of HK$0.28 per share. This initiative aims to raise approximately HK$140 million before expenses, with proceeds designated for working capital, production line expansion, and strategic investments in AI.

The subscription price represents significant discounts, including 66.27% to the closing price on the Latest Practicable Date and 72.28% to the last trading day's closing price. Funds will be allocated primarily to the mobile phone and related products business (HK$79 million for working capital, HK$12 million for expansion), with HK$5 million for the automobile business, HK$2 million for ERP system enhancement, and HK$20 million for general working capital and AI-focused strategic investments.

The rights issue is conditional upon regulatory approvals and will proceed irrespective of the acceptance level, with any unsubscribed shares to be placed with independent third parties. Dealings in nil-paid rights shares are scheduled from September 16 to September 23, 2025.