Morgan Stanley Discloses Significant Derivatives Dealings in ENN Energy Holdings Limited Shares

Key Developments Investors Must Know Following Privatisation Scheme

Date: 2 March 2026
Subject: Public Disclosure under the Hong Kong Code on Takeovers and Mergers

Key Highlights from the Disclosure

• Privatisation Activity: The Executive has received a formal disclosure of securities dealings in ENN Energy Holdings Limited, linked to the ongoing privatisation proposal via a scheme of arrangement.
• Reporting Party: Morgan Stanley & Co., International plc, a Class (5) associate connected with the Offeror, disclosed multiple dealings in ENN Energy derivatives.
• Type of Dealings: The reported transactions were unsolicited client facilitation trades involving various derivative products relating to ENN Energy shares, including both purchases and sales.

Transaction Details

Morgan Stanley disclosed a series of derivative transactions in ENN Energy shares between 27 February 2026 and 29 November 2027, with all dealings executed for its own account. The transactions include:

• Purchases:
  • 100 derivatives maturing 26 April 2027 at \$68.80 per share (\$6,880 total)
  • 100 derivatives maturing 29 November 2027 at \$68.80 per share (\$6,880 total)
  • 500 derivatives maturing 13 November 2026 at \$68.30 per share (\$34,150 total)
  • 2,800 derivatives maturing 29 November 2027 at \$68.80 per share (\$192,640 total)
  • 18,000 derivatives maturing 29 May 2026 at \$68.80 per share (\$1,238,400 total)
• Sales:
  • 22 derivatives maturing 14 August 2026 at \$68.60 per share (\$1,509.20 total)
  • 178 derivatives maturing 1 June 2027 at \$68.6001 per share (\$12,210.81 total)
  • 1,300 derivatives maturing 27 February 2026 at \$68.5577 per share (\$89,125.01 total)
  • 2,400 derivatives maturing 29 October 2027 at \$69.0123 per share (\$165,629.53 total)
  • 3,000 derivatives maturing 5 October 2026 at \$68.5501 per share (\$205,650.30 total)
  • 10,500 derivatives maturing 10 December 2027 at \$68.5648 per share (\$719,930.40 total)
  • 14,000 derivatives maturing 30 September 2026 at \$69.0123 per share (\$966,172.27 total)

Implications for Shareholders

• Potential Price Sensitivity: The scale and pricing of Morgan Stanley’s derivatives activity—particularly large purchases and sales around the \$68.80-\$69.01 range—could signal expectations around the privatisation offer price or the likely scheme consideration. Such concentrated activity at these price levels may reflect expectations that the scheme price will be close to this range, which is of high interest to shareholders considering whether to tender their shares or hold for a better offer.
• Zero Resultant Balance: Notably, all transactions left Morgan Stanley with a resultant balance of zero in these derivatives, indicating these were facilitation trades rather than a directional position. This suggests the bank may be acting to provide liquidity or manage risk for clients, but it also underscores that significant trading activity is ongoing around the time of the privatisation.
• Connected Party: As a Class (5) associate connected with the Offeror, Morgan Stanley’s activity is closely watched under the Takeovers Code, and any perception of coordinated activity or market-making could affect regulatory scrutiny or shareholder sentiment.

What Investors Should Watch For

• Monitor official announcements regarding the privatisation scheme price—these derivative prices may act as a market signal for the expected consideration.
• Watch for further disclosures from other associates or counterparties, as high-volume trades around this price level could impact both short-term and long-term valuations.
• Be alert to potential volatility in ENN Energy’s share price as the privatisation process develops and as institutional participants continue to facilitate large trades in the market.

Disclaimer

The above article is for informational purposes only and does not constitute investment advice. Investors are advised to conduct their own research or consult a financial advisor before making investment decisions. The reporter and publisher accept no responsibility for any losses arising from reliance on this information.

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