Baidu Group-SW (09888) dual major conversion application was confirmed by the Hong Kong Stock Exchange and proposed grant of issuance authorization and share repurchase authorization

According to Zhitong Finance App News, Baidu Group - SW (09888) announced that considering the increase in trading volume of shares traded on the Hong Kong Stock Exchange since the second listing in Hong Kong, the links between Hong Kong and the company's main business operations in China, and the company's long-term business development and prospects, the company has applied to the Hong Kong Stock Exchange for a major conversion (major conversion application), and the company has received confirmation from the Hong Kong Stock Exchange for the main conversion application. The effective date (that is, the date of entry into force of the main conversion) is expected to be within the current year, subject to approval by the Hong Kong Stock Exchange. After the main conversion takes effect, the company will have a dual primary listing on the Hong Kong Stock Exchange in Hong Kong and the NASDAQ in the US.

To prepare for the major conversion, and to enable the company to flexibly issue shares and/or American Depositary Shares at the appropriate time, the Company will submit an ordinary resolution at the Extraordinary General Meeting of Shareholders to approve the grant of: (i) directors' issuance authorization to allocate, issue, or process (including) no more than 20% of the total number of shares issued as of the date the issuance authorization resolution was granted; and (ii) share repurchase authorization to repurchase no more than 10% of the total number of shares issued as of the date the share repurchase authorization resolution was granted; and (ii) share repurchase authorization to repurchase no more than 10% of the total number of shares issued as of the date the share repurchase authorization resolution was granted Common shares and/or American Depositary Shares.

To prepare for a major transition, the company must comply with the requirements of Chapter 17 of the Hong Kong Listing Rules. The Board of Directors has decided to adopt the 2026 Equity Incentive Plan to comply with the requirements of Chapter 17 of the Hong Kong Listing Rules relating to share plans involving the issuance of new shares. The 2026 equity incentive plan must be approved by shareholders at the special shareholders' meeting before it can be adopted.