Kehua Bio-Engineering reports H1 loss, activates convertible bond put option

United Credit Ratings Co., Ltd. has issued a notice of concern regarding Shanghai Kehua Bio-Engineering Co., Ltd.'s 2025 semi-annual report, which revealed total operating revenue of yuan 794 million and a total profit of -yuan 136 million, a 209.76% decrease year-over-year. The loss is attributed to industry policy changes, increased competition, and provisions for impairment on assets. Despite the loss, United Credit Ratings affirmed the company's individual credit rating and long-term credit rating at A⁺ with a stable outlook.

Concurrently, the company announced the activation of a put option for its "Kehua Convertible Bonds" after its stock price consistently fell below 70% of the conversion price. The put option price is set at yuan 100.241 per bond. The put declaration period is from September 10 to September 16, 2025, during which bond conversion will be suspended, resuming on September 17, 2025.

Investors choosing to exercise the put option may incur losses, as the current market price of the convertible bonds exceeds the put option price. Funds for the put option will be disbursed to investors by September 23, 2025. The company emphasizes that the put option is not mandatory.