Microware Group Limited Releases Supplemental Announcement on 2025 Annual Report

Hong Kong, 13 March 2026 — Microware Group Limited (Stock code: 1985) has released a supplemental announcement providing additional details regarding its 2025 Annual Report for the year ended 31 March 2025. This update specifically addresses the Share Award Scheme, a key area that may be of interest to shareholders and investors due to its potential impact on share value.

Key Points from the Supplemental Announcement

• Share Award Scheme Details: The Company granted 29,998,000 Awarded Shares to participants under the Share Award Scheme during the relevant year.
• Vesting Terms: Importantly, awardees were not required to pay any purchase price upon vesting of these Awarded Shares. This means the shares were effectively given for free to the recipients at the time of vesting.
• Valuation Reference: The weighted average closing price of the Company’s shares immediately before the vesting date was HK\$1.147 per share. This gives a total implied value of approximately HK\$34.4 million for all the Awarded Shares (29,998,000 x HK\$1.147).

What Shareholders Need to Know

• Potential Share Dilution: The issuance of nearly 30 million new shares to employees or participants under the Share Award Scheme could result in significant dilution for existing shareholders. Dilution occurs when a company issues additional shares, reducing the ownership percentage of existing shareholders.
• Payout Structure: Since the shares were awarded at no cost to the recipients, this represents a non-cash benefit and a reward mechanism, which could have implications for future profit distribution and equity value.
• Share Price Sensitivity: The market may react to the news of such a large share award, especially as the shares are valued at current market rates. Investors may interpret this as a potential short-term downward pressure on the share price due to dilution, unless the awardees are subject to lock-up periods or performance-based vesting conditions (which were not described in the supplemental details).
• No Other Changes: The Company emphasized that, aside from this supplemental disclosure, all other information in the 2025 Annual Report remains unchanged.

Board and Management Update

As of the announcement date, the Board of Directors comprises:

• Executive Director: Mr. Wang Guangbo (Chairman)
• Non-executive Director: Mr. Wang Zhi
• Independent Non-executive Directors: Mr. Dai Bin, Mr. Xu Jianwen, and Ms. Lan Jia

Conclusion

This supplemental announcement provides clarity on a significant share-based payment made by Microware Group Limited. The grant of nearly 30 million shares without consideration to awardees is a material transaction that could influence shareholder value through dilution and market sentiment. Investors are advised to closely monitor further disclosures regarding the terms and potential restrictions on these awarded shares, as well as any subsequent market reaction.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own due diligence and consult with professional advisors before making investment decisions. The information is based on the company’s official disclosures as of 13 March 2026 and may be subject to change.

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