SGISSUE-PW24 Meituan Class Warrant (24425)

SGISSUE-PW24 Meituan Class Warrant is a structured put warrant issued by SG Issuer, providing investors with leveraged exposure to the price movements of Meituan's Class B shares, traded in Hong Kong dollars. As a European-style cash-settled derivative, it automatically exercises on the expiry date if the cash settlement amount—calculated as the difference between the exercise price and the average closing price of the underlying shares over specified valuation dates, adjusted by exchange rates—exceeds exercise expenses. This warrant enables holders to profit from declines in Meituan's share price without owning the stock, amplifying potential returns through its leverage ratio, such as multiples linked to 75 put warrants per Meituan share in similar issuances. Represented in global form and traded in board lots, it ranks as an unsecured obligation of the issuer, emphasizing the importance of the issuer's creditworthiness. In the financial markets, such warrants play a key role in derivatives trading, offering sophisticated tools for hedging, speculation, and portfolio diversification within the technology and e-commerce sectors influenced by Meituan's operations.