Novoray plans convertible bond offering for expansion projects

Novoray Corporation announced its plan to issue convertible corporate bonds to unspecified investors, aiming to raise up to 695 million yuan. The funds will primarily be allocated to two major projects: the High-Performance High-Speed Substrate Ultrapure Spherical Powder Materials Project (255 million yuan) and the High Thermal Conductivity High-Purity Spherical Powder Materials Project (240 million yuan), with the remaining 200 million yuan earmarked for working capital. This initiative aligns with the company’s strategy to expand production capacity for ultrapure spherical silica and high thermal conductivity spherical alumina, driven by increasing market demand in AI, HPC, and new energy vehicle sectors.

The convertible bonds will have a six-year term and an initial conversion price set to be no less than the average trading price of the company's A-shares over the twenty trading days prior to the prospectus announcement. The offering has received a AA credit rating from Dagong Global Credit Rating Co., Ltd., reflecting a stable outlook. Existing shareholders will have priority in subscription, and the issuance will not be guaranteed.

The issuance, approved by the board on May 16, 2025, and by shareholders on June 9, 2025, is expected to enhance Novoray Corporation’s financial strength and market competitiveness.