Huayou convertible bonds face redemption and delisting deadline

Zhejiang Huayou Cobalt has issued its third announcement regarding the redemption and delisting of its "Huayou Convertible Bonds." The final trading day for these bonds is September 23, 2025, with only nine trading days remaining as of September 10, 2025. The final conversion date is September 26, 2025, leaving 12 days for bondholders to convert their holdings.

The company will redeem all registered "Huayou Convertible Bonds" at a price of CNY100.8918 per bond, which includes the face value of CNY100 plus accrued interest of CNY0.8918 per bond. Bondholders who fail to convert their bonds to shares or sell them on the secondary market by the deadline risk compulsory redemption at this price, potentially incurring significant investment losses due to the current market price disparity. The redemption proceeds will be distributed on September 29, 2025, after which the bonds will be delisted from the Shanghai Stock Exchange.

The redemption was triggered as the company's stock price met the condition of being at or above 130% of the current conversion price (CNY44.759 per share) for at least 15 trading days within a 30-trading-day period between July 25, 2025, and August 29, 2025. Individual investors will be subject to a 20% income tax on the interest portion, resulting in a net payout of CNY100.7134 per bond.