China Weaving proposes share consolidation and board lot change

China Weaving Materials Holdings Limited (HKEX:3778) announced a proposed share consolidation where every ten existing shares of HK$0.1 par value will be consolidated into one consolidated share of HK$1.0 par value. This move aims to comply with Listing Rules requirements regarding share price extremities.

Concurrently, the company proposes changing its board lot size from 4,000 existing shares to 2,000 consolidated shares, contingent on the consolidation's effectiveness. Based on a closing price of HK$0.305 per existing share, the theoretical market value of a new board lot would be HK$6,100, up from the current HK$1,220. This adjustment is expected to reduce transaction costs and enhance investor appeal.

Shareholders will vote on the proposal at an Extraordinary General Meeting (EGM), with the circular detailing the changes expected by October 22, 2025. The effective date for the share consolidation is anticipated to be November 11, 2025. Investors are cautioned that the proposals are conditional and may not proceed.