Xinquan automotive convertible bond nears early redemption trigger

Jiangsu Xinquan Automotive Trim Co., Ltd. has announced that its "XIN23 convertible bond" is nearing the conditions for conditional redemption. The company issued 1.16 bn yuan of these bonds on August 11, 2023, with an initial conversion price of 51.35 yuan per share, which was subsequently adjusted to 50.75 yuan per share as of June 19, 2025, following dividend distributions.

According to the terms, the convertible bond can be redeemed if the company's stock price closes at or above 130% of the current conversion price (65.98 yuan per share) for at least 15 trading days within any 30 consecutive trading days during the conversion period. From September 8 to September 22, 2025, the company's stock price has already met this threshold for ten trading days.

Should the stock price continue to meet the 65.98 yuan per share criterion for another five trading days within the next 19 consecutive trading days, the conditional redemption clause will be triggered. The company will then have the right to decide whether to redeem all or part of the unconverted bonds at their face value plus accrued interest. Investors are advised to review the redemption terms and potential impacts.