Honglu convertible bond put option triggered for investors

Anhui Honglu Steel Construction Group has announced that the put option for its "Honglu convertible bonds" has been triggered, offering investors the right to sell back their bonds. The put option was activated because the company's stock price closed below 70% of the current conversion price (32.08 yuan per share) for 30 consecutive trading days between October 9, 2025, and November 19, 2025, during the last two interest-accrual years of the bond.

The put option allows bondholders to sell their un-converted "Honglu convertible bonds" back to the company at a price of 100.312 yuan per bond, which includes principal and accrued interest. For individual investors and securities investment funds, after a 20% tax deduction, the actual proceeds will be 100.249 yuan per bond. Qualified Foreign Institutional Investors (QFII and RQIFF) are exempt from income tax and will receive 100.312 yuan per bond.

The put option declaration period is scheduled from December 5, 2025, to December 11, 2025. Bondholders can submit their declarations via the Shenzhen Stock Exchange trading system. Funds for the buyback are expected to reach the issuer by December 16, 2025, and will be transferred to investors by December 17, 2025, with investor accounts credited by December 18, 2025.