Huayou Cobalt convertible bonds face mandatory redemption, delisting

Zhejiang Huayou Cobalt Co., Ltd. has issued its fifth indicative announcement regarding the redemption and delisting of its Huayou Convertible Bonds. The redemption registration date is set for September 26, 2025, with the redemption price at 100.8918 yuan per bond. Bondholders will receive the redemption funds on September 29, 2025. The last trading day for Huayou Convertible Bonds is September 23, 2025, and the last day for conversion into shares is September 26, 2025.

The company has met the conditions for early redemption, as its stock price consistently exceeded 130% of the conversion price (34.43 yuan per share, or 44.759 yuan per share) for at least 15 trading days between July 25, 2025, and August 29, 2025. Following the redemption, the Huayou Convertible Bonds will be delisted from the Shanghai Stock Exchange on September 29, 2025.

Investors who do not convert their bonds into shares or sell them on the secondary market by the specified deadlines will be subject to mandatory redemption at 100.8918 yuan per bond. This could lead to significant investment losses, given the current market price difference. The company strongly advises bondholders to convert or sell their bonds within the remaining timeframe.