Shanxi Meijin Energy convertible bonds face put option amid project changes

Shanxi Meijin Energy has issued a third indicative announcement for the put option on its "Meijin Convertible Bonds," with the put option price set at CNY 100.986 per bond (including interest and tax). The put option declaration period is from December 1 to December 5, 2025. This decision follows the company's resolution on November 7 and November 25, 2025, to terminate a portion of its fundraising investment project and permanently reallocate remaining funds of CNY 17,917.83 to working capital.

This change in the use of raised funds triggered the additional put option clause for the convertible bonds, as per the company's prospectus. Bondholders can choose to exercise their right to sell their convertible bonds back to the company at the specified price. Investors should be aware that the current market price of the "Meijin Convertible Bonds" is above the put option price, so exercising the put option may result in a loss.

During the put option declaration period (December 1-5, 2025), trading of the "Meijin Convertible Bonds" will continue, but the conversion into shares will be suspended. Conversion will resume on December 8, 2025. Funds for the put option will be disbursed to bondholders by December 12, 2025.