STOCK TITAN

XChange TEC (XHG) secures $100M discretionary ADS equity purchase deal

Filing Impact
(Neutral)
Filing Sentiment
(Neutral)
Form Type
6-K

Rhea-AI Filing Summary

XChange TEC.INC entered a Securities Purchase Agreement with VG Master Fund SPC allowing the company, at its discretion, to sell up to $100,000,000 of American Depositary Shares. Each ADS represents 2,400 Class A Ordinary Shares and sales are registered under an effective Form F-3 shelf.

After an Effective Date when conditions are met, the company may issue purchase notices, subject to a minimum $30,000 draw and a $0.10 floor price per ADS unless waived by VG. VG’s beneficial ownership is capped at 9.99%, and the arrangement runs until the earlier of full $100,000,000 usage or April 1, 2028. Net proceeds are expected to be used for working capital and general corporate purposes.

Positive

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Insights

XChange TEC sets up a discretionary $100M equity line, creating flexible but potentially dilutive funding.

XChange TEC.INC arranged a Securities Purchase Agreement with VG Master Fund SPC, enabling sales of up to $100,000,000 in ADSs registered under a Form F-3 shelf. The company alone decides if and when to issue purchase notices once all conditions for the Effective Date are satisfied.

Each draw must be at least $30,000, and the ADS closing price must generally be at least $0.10 per ADS, unless VG waives this floor. VG’s beneficial ownership cannot exceed 9.99% of Class A Ordinary Shares, which limits concentration but does not define overall dilution from potential issuances.

The agreement lasts until VG has cumulatively purchased ADSs equal to $100,000,000 or until April 1, 2028, whichever comes first, unless terminated earlier. Any proceeds the company elects to raise are expected to support working capital and general corporate purposes, with actual impact depending on future issuance decisions and market conditions.

Equity facility size $100,000,000 Maximum aggregate ADS purchases under Securities Purchase Agreement
ADS to ordinary share ratio 2,400 Class A Ordinary Shares per ADS Representation of Class A Ordinary Shares by each ADS
Minimum purchase amount $30,000 Minimum size of each ADS purchase under the agreement
Floor price per ADS $0.10 Minimum prior-day closing price for purchases, unless waived by VG
Beneficial ownership cap 9.99% Maximum beneficial ownership of Class A Ordinary Shares by VG and affiliates
Agreement end date April 1, 2028 Latest date for purchases unless $100,000,000 is reached or terminated earlier
Securities Purchase Agreement financial
"On April 15, 2026, XChange TEC.INC entered into a Securities Purchase Agreement"
A securities purchase agreement is a written contract between a buyer and a seller outlining the terms for buying or selling financial assets such as stocks or bonds. It specifies details like the price, quantity, and conditions of the transaction, similar to a shopping list with agreed-upon terms. For investors, it provides clarity and legal protection when transferring ownership of these financial instruments.
prospectus supplement regulatory
"offering and sale of the ADSs ... has been registered pursuant to a prospectus supplement"
A prospectus supplement is an additional document provided alongside a company's main offering details, offering updated or extra information about a specific financial product being sold. It helps investors understand the latest terms, risks, and details of the investment, similar to how an update or revision clarifies or expands on original instructions, ensuring they have current and complete information before making a decision.
shelf registration statement on Form F-3 regulatory
"to a shelf registration statement on Form F-3 (File No. 333-290136)"
Effective Date financial
"The Company does not have the right to commence any sales ... until the Effective Date"
The effective date is the specific calendar day when a contract, regulatory action, corporate change, or financial disclosure officially begins to apply and take legal or operational effect. For investors, it marks the moment rules, obligations, ownership, pricing, or reporting change—similar to the exact minute a light switch is flipped—so it determines when rights, liabilities, or market impacts start and which periods or transactions are affected.
beneficially owning financial
"would result in VG beneficially owning ADSs in excess of 9.99% of the outstanding Class A Ordinary Shares"

 

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 6-K

 

REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934

 

For the month of April 2026

 

Commission File Number: 001-39111

 

XChange TEC.INC

(Registrant’s Name)

 

Room 613, No.259, Guoxia Road

Yangpu District, Shanghai, 200433

People’s Republic of China

(Address of principal executive offices)

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

 

Form 20-F      Form 40-F

 

 

 

 

 

 

On April 15, 2026, XChange TEC.INC (the “Company”) entered into a Securities Purchase Agreement (the “Purchase Agreement”) with VG Master Fund SPC (“VG”). Upon the terms and subject to the satisfaction of the conditions contained in the Purchase Agreement, the Company will have the right, in its sole discretion, from time to time during the term of the Purchase Agreement, to require VG to purchase up to an aggregate of $100,000,000 of the Company’s Class A Ordinary Shares, par value $0.0000001 per share (the “Class A Ordinary Shares”), represented by American Depositary Shares (“ADSs”), each ADS representing 2,400 Class A Ordinary Shares, deposited with The Hongkong and Shanghai Banking Corporation Limited, as custodian for The Bank of New York Mellon, as depositary, subject to certain limitations set forth in the Purchase Agreement. Sales of the ADSs by the Company to VG under the Purchase Agreement, and the timing of any such sales, are solely at the Company’s option, and the Company is under no obligation to sell any securities to VG under the Purchase Agreement.

 

The offering and sale of the ADSs by the Company to VG pursuant to the Purchase Agreement has been registered pursuant to a prospectus supplement, which was filed by the Company with the Securities and Exchange Commission (the “SEC”) on April 16, 2026, to a shelf registration statement on Form F-3 (File No. 333-290136), which was filed with the SEC on March 11, 2026 and declared effective on April 1, 2026.

 

The Company does not have the right to commence any sales of the ADSs to VG under the Purchase Agreement until the Effective Date, which is the date on which all of the conditions to VG’s purchase obligation set forth in the Purchase Agreement have initially been satisfied, none of which are in VG’s control, including that the prospectus supplement shall have been filed with the SEC. From and after the Effective Date, the Company has the right, but not the obligation, from time to time at its sole discretion until the earlier of (i) the date on which VG has cumulatively purchased a number of ADSs equal to $100,000,000 or (ii) April 1, 2028, unless the Purchase Agreement is earlier terminated, to direct VG to purchase up to a specified maximum amount of ADSs in one or more transactions as set forth in the Purchase Agreement, by timely delivering a written Purchase Notice for each purchase to VG in accordance with the Purchase Agreement, so long as the purchase amount is not less than $30,000 or the closing sale price of the ADSs on the trading day immediately prior to such Purchase Date is not less than the floor price of $0.10, unless waived by VG.

 

From and after the Effective Date, the Company will control the timing and amount of any sales of ADSs to VG. Actual sales of ADSs to VG under the Purchase Agreement will depend on a variety of factors to be determined by the Company from time to time, including, among other things, market conditions, the trading price of the ADSs, and determinations by the Company as to the appropriate sources of funding for the Company and its operations.

 

The Company may not issue or sell any Class A Ordinary Shares, including Class A Ordinary Shares represented by ADSs, to VG under the Purchase Agreement which, when aggregated with all other Class A Ordinary Shares, including Class A Ordinary Shares represented by ADSs, then beneficially owned by VG and its affiliates (as calculated pursuant to Section 13(d) of the Exchange Act and Rule 13d-3 thereunder), would result in VG beneficially owning ADSs in excess of 9.99% of the outstanding Class A Ordinary Shares, including Class A Ordinary Shares represented by ADSs.

 

The net proceeds to the Company from sales that the Company elects to make to VG under the Purchase Agreement, if any, will depend on the frequency and prices at which the Company sells ADSs to VG. We expect that any proceeds received by the Company from such sales to VG will be used for working capital and general corporate purposes.

 

Neither the Company nor VG may assign or transfer its respective rights and obligations under the Purchase Agreement without the prior written consent of the other party, and no provision of the Purchase Agreement may be modified or waived by the Company or VG.

 

The Purchase Agreement contains customary representations, warranties, conditions, and indemnification obligations of the parties.

 

The representations, warranties, and covenants contained in the Purchase Agreement were made solely for the benefit of the parties to the Purchase Agreement. In addition, such representations, warranties, and covenants: (i) are intended as a way of allocating the risk between the parties to such agreements and not as statements of fact, and (ii) may apply standards of materiality in a way that is different from what may be viewed as material by shareholders of, or other investors in, the Company. Accordingly, the Purchase Agreement is filed with this Current Report on Form 6-K only to provide investors with information regarding the terms of the transactions described herein, and not to provide investors with any other factual information regarding the Company. Information concerning the subject matter of the representations and warranties may change after the date of the Purchase Agreement, which subsequent information may or may not be fully reflected in public disclosures.

 

The Purchase Agreement is filed as Exhibit 10.1 to this Current Report on Form 6-K. The foregoing summary of the terms of the Purchase Agreement is subject to, and qualified in its entirety by, such document which is incorporated herein by reference.

 

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EXHIBIT INDEX

 

Number   Description of Document
5.1   Opinion of Conyers Dill & Pearman
5.2   Opinion of Beijing Kingdom Lawfirm regarding PRC legal matters
10.1*   Securities Purchase Agreement dated April 15, 2026 by and between the Company and VG Master Fund SPC
23.1   Consent of Conyers Dill & Pearman (included in Exhibit 5.1)
23.2   Consent of Beijing Kingdom Lawfirm (included in Exhibit 5.2)

 

*Certain information has been redacted from this exhibit pursuant to Item 601(b)(10)(iv) of Regulation S-K because it is both not material and is the type of information that is treated as private or confidential by the Registrant. The Registrant hereby agrees to furnish an unredacted copy of the exhibit to the SEC upon request.

 

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SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

  XChange TEC.INC
   
  By: /s/ Zichen Sun
  Name:  Zhichen Sun
  Title: Chief Exeucitve Officer

 

Date: April 17, 2026

 

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FAQ

What financing arrangement did XChange TEC (XHG) announce in this Form 6-K?

XChange TEC entered a Securities Purchase Agreement with VG Master Fund SPC, allowing it to sell up to $100,000,000 of ADSs. The company can decide if and when to draw, providing a discretionary equity financing source under an effective Form F-3 shelf.

How much can XChange TEC (XHG) raise under the VG Master Fund SPC agreement?

The agreement permits XChange TEC to sell ADSs to VG Master Fund SPC for aggregate gross proceeds of up to $100,000,000. The company controls the timing and size of each draw, subject to minimum purchase amounts and pricing conditions set out in the agreement.

What are the key pricing and size conditions for XChange TEC (XHG) ADS sales?

Each purchase must generally be at least $30,000, and the ADS closing price before a purchase must be at least the $0.10 floor price unless VG waives it. These conditions shape how and when the company may tap the $100,000,000 facility.

How long does the XChange TEC (XHG) equity purchase agreement with VG remain in effect?

The arrangement runs from the Effective Date until VG has cumulatively purchased ADSs equal to $100,000,000 or until April 1, 2028, whichever occurs first. It can also end earlier if the Purchase Agreement is terminated under its terms.

Is there a beneficial ownership limit for VG Master Fund SPC in the XChange TEC (XHG) deal?

Yes. XChange TEC may not sell shares under the agreement if doing so would cause VG and its affiliates to beneficially own more than 9.99% of outstanding Class A Ordinary Shares, including those represented by ADSs, as calculated under Section 13(d) rules.

How does XChange TEC (XHG) plan to use proceeds from ADS sales to VG Master Fund SPC?

The company expects to use any net proceeds from ADS sales under the agreement for working capital and general corporate purposes. Actual amounts raised will depend on future decisions by XChange TEC regarding draw timing, size, and prevailing market conditions.

Filing Exhibits & Attachments

3 documents