China Pacific Insurance to issue HK$15.56 bn convertible bonds

China Pacific Insurance (Group) Co., Ltd. is set to issue zero-coupon H-share convertible bonds with a principal amount of HK$15,556,000,000, due in 2030. The issuance aims to raise long-term, low-cost capital to support the company's insurance main business, "Big Health, AI+, and Internationalization" strategies, and general corporate purposes. The bonds, with an issue price of 100.15% of their principal amount, will not bear interest.

The initial conversion price for the bonds is HK$39.04 per H-share, adjustable under certain conditions. This represents a premium of approximately 21.24% over the H-share closing price of HK$32.20 on September 10, 2025 (the signing date of the subscription agreement). If fully converted, the bonds would convert into approximately 398,463,114 H-shares, representing about 14.36% of the company's existing H-share capital and 4.14% of its total issued share capital as of the announcement date.

The bonds are expected to be listed and traded on the Hong Kong Stock Exchange, with the company applying for both the bonds and the converted shares to be listed. The issuance is subject to various conditions, including regulatory approvals from the National Development and Reform Commission and the China Securities Regulatory Commission.