XTEP INT'L (01368) plans to issue convertible bonds.

XTEP INT'L (01368) announces that, in accordance with the terms and conditions of the 2025 convertible bonds clause 8E (purchase), the company or any of its subsidiaries may, subject to applicable laws and regulations, buy back the 2025 convertible bonds at any time and at any price on the open market or through other means. The company recommends repurchasing the 2025 convertible bonds based on the above terms and conditions. On January 30, 2026, the company signed a transaction agent agreement with a transaction agent, appointing the transaction agent to handle the proposed simultaneous repurchase transactions, including assisting the company in collecting letters of intent from 2025 convertible bond holders who may be willing to sell their holdings. The company plans to issue convertible bonds to institutional investors. The company has appointed an agent to coordinate the pricing of the proposed bond issue. Once the bond terms (including issuance size, issuance price, and other terms) are finalized, the agent will enter into a subscription agreement with the company for the proposed bond issue. The Board of Directors believes that through conducting simultaneous repurchase transactions and issuing bonds, the company will be able to extend the maturity structure of its debt. In addition, the proposed bond issue will bring the following additional benefits: provide additional funds to the company at a lower financing cost to fund the simultaneous repurchase transactions, with the remaining amount used for general corporate purposes; not have an immediate dilutive effect on the holdings of existing shareholders; and strengthen the company's capital base, and promote long-term development when the bonds are converted into new shares.