Petti Animal Nutrition Technology Co., Ltd.
Announcement on the Expected Triggering of the Downward Adjustment Condition for the Conversion Price of Petti Convertible Bonds
The Company and all members of the Board of Directors guarantee the truthfulness, accuracy, and completeness of the contents of this announcement, and that there are no false records, misleading statements, or material omissions.
Special Reminders:
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Securities Code: 300673 Securities Abbreviation: Petti Shares
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Bond Code: 123133 Bond Abbreviation: Petti Convertible Bond
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Current Effective Conversion Price: RMB 17.33 per share
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Conversion Period: From June 28, 2022, to December 21, 2027
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As of the close of trading on June 16, 2026, the closing price of the Company's stock has been below 85% of the current effective conversion price of Petti Convertible Bonds for ten out of the last thirty consecutive trading days. If the closing price of the Company's stock continues to be below 85% of the current conversion price, it is expected to trigger the downward adjustment condition for the conversion price of Petti Convertible Bonds. If the downward adjustment condition is met, the Company will convene a board meeting on the day the condition is met to decide whether to propose a downward adjustment of the conversion price.
I. Issuance and Listing of Convertible Corporate Bonds
Upon the approval of the Shenzhen Stock Exchange and the registration approval from the China Securities Regulatory Commission ("Notice of Approval for Petti Animal Nutrition Technology Co., Ltd. to Issue Convertible Corporate Bonds to Unspecified Objects" (Securities Regulatory License [2021] No. 3596)), the Company is permitted to issue convertible corporate bonds with a face value not exceeding RMB 720,000,000.00 to unspecified objects.
The convertible corporate bonds issued by the Company are named "Petti Convertible Bond." Each bond has a face value of RMB 100, and is issued at par. A total of 7.2 million bonds were issued, with a term of 6 years.
The total amount of funds raised by the Company through the issuance of convertible corporate bonds is RMB 720,000,000.00. After deducting underwriting and issuance fees, intermediary fees, handling fees, information disclosure fees, and other related expenses, the net proceeds from the issuance are RMB 711,859,782.01. These funds were deposited into the special account for raised funds on December 28, 2021. Zhonghui Certified Public Accountants (Special General Partnership) has audited the situation regarding the Company's issuance of convertible corporate bonds to unspecified objects as of December 28, 2021, and issued the "Verification Report on the Capitalization of Raised Funds from Bond Issuance" (Zhonghui Huishui [2021] No. 8205).
Petti Convertible Bonds were listed on January 21, 2022. The bond abbreviation is "Petti Convertible Bond," the bond code is 123133. The conversion start and end dates are from the first trading day six months after the issuance completion date (December 28, 2021), which is June 28, 2022, to the maturity date, December 21, 2027.
II. Determination and Historical Changes of the Conversion Price
(I) Determination of the Initial Conversion Price
According to the Company's "Prospectus for the Issuance of Convertible Corporate Bonds to Unspecified Objects on the ChiNext Market" (hereinafter referred to as the "Prospectus") and the relevant regulations of the China Securities Regulatory Commission on the issuance of convertible corporate bonds, the initial conversion price of Petti Convertible Bonds is RMB 19.92 per share.
(II) Historical Changes in the Conversion Price