Xuerong convertible bonds face mandatory redemption, driving share conversion

Shanghai Xuerong Bio-Technology has announced that its "Xuerong Convertible Bonds" will cease trading on October 10, 2025, and stop converting to shares on October 15, 2025. Unconverted bonds will be mandatorily redeemed at CNY 100.93 per bond. The company triggered the conditional redemption clause after its stock price met the 120% threshold of the current conversion price for at least 15 out of 30 consecutive trading days between August 14 and September 3, 2025. Bondholders are advised to convert to shares by October 14, 2025, to avoid potential losses due to market price differences.

In the third quarter of 2025, 1,206,709 "Xuerong Convertible Bonds" (valued at CNY 120,670,900) were converted into 29,431,438 shares of Xuerong Bio-Technology. As of September 30, 2025, 580,322 bonds remain outstanding, with a total face value of CNY 58,032,200. The company's total share capital increased to 627,062,907 shares.

In a separate development, Shanghai Xuerong Bio-Technology announced that its wholly-owned subsidiary, Huaian Xuerong Trading Co., Ltd., secured a CNY 4,000,000 working capital loan from Jiangsu Jinhu Mintai Rural Bank Co., Ltd. Shanghai Xuerong Bio-Technology and its subsidiary Jiangsu Xuerong Bio-Technology Co., Ltd. are providing joint and several liability guarantees for this loan, which falls within the company's previously approved CNY 2,090,000,000 annual guarantee limit for its subsidiaries in 2025.