Xinjiang Xintai triggers mandatory offer for overseas subsidiary after rights issue

Xinjiang Xintai Natural Gas Co., Ltd. (Xinjiang Xintai) announced that its overseas subsidiary, China Energy Development Holdings Limited (CEHD), completed a rights issue on December 23, 2025. This involved issuing 152,066,800 rights shares at HK$1.57 per share, raising approximately HK$239m for its Akemomu Gas Field project. Following this, Xinjiang Xintai, through its subsidiary Jiaying Company, subscribed to 150,884,939 rights shares, increasing its stake in CEHD to 52.97% of the total issued shares.

This increased ownership triggers Hong Kong's Takeovers Code Rule 26.1 and 13, obligating Xinjiang Xintai to launch a mandatory general offer to CEHD's other shareholders. The offer price will be HK$1.57 per share, with an estimated maximum value of HK$391m, dependent on shareholder acceptance. This transaction, approved by Xinjiang Xintai’s board on December 24, 2025, aligns with the company's long-term strategy in clean energy.

Additionally, Xinjiang Xintai approved estimated routine related-party transactions for 2026 totaling 397.7631m yuan. These transactions, primarily involving natural gas, materials, and services with its joint ventures and other related parties, are considered essential for normal business operations and are priced fairly.