Jiuzi Holdings Inc. (NASDAQ:JZXN) stock jumped 20.2% in premarket trading on Wednesday after the Chinese company released full implementation details of its previously announced $1 billion capital plan.
The company said it intends to raise the funds through a diversified capital structure, combining market financing, new commitments from existing shareholders, operational revenue, and institutional investor participation. Initial investments under the plan are expected to commence within two weeks.
Jiuzi’s Chief Executive Officer Tao Li expressed optimism about the initiative’s reception, saying:
“We are encouraged by the strong support this plan has received from investors with diverse backgrounds. It represents not only recognition of our achievements but also confidence in our ability to deliver future value. A solid foundation of long-term, strategic capital will empower us to pursue our goals with greater confidence.”
According to the company, the capital initiative is designed to expand global market share, optimize the company’s capital structure, and enhance long-term shareholder value. Jiuzi emphasized that all related transactions will be carried out transparently and in accordance with applicable regulations.
The firm added that it has conducted extensive discussions with institutional and long-term value investors, as well as strategic partners, and has received strong indications of interest. Jiuzi noted that this diversified funding strategy demonstrates growing market confidence in its fundamentals and future strategy.
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