CHINA NEW CONS: All 180 million unsubscribed rights issue shares have been successfully allocated
CHINA NEW CONS announced that all 180 million unsubscribed rights issue shares have been successfully placed, with a placement price of HKD 0.1 per share. The total number of rights issue shares is 240 million, raising approximately HKD 24 million, with a net amount of approximately HKD 22.74 million. The funds will be used for the acquisition of generators, financial services, and general working capital. The rights issue became unconditional on November 13, 2024
According to the announcement from CHINA NEW CONS (08275), on November 13, 2024 (Wednesday) at 4:00 PM (the final deadline for the placement agent to place the unsubscribed rights shares), all 180 million unsubscribed rights shares under the placement have been successfully placed at a price of HKD 0.1 per share (equivalent to the subscription price). Therefore, there are no net proceeds available for distribution to non-participating shareholders based on the compensation arrangement. According to the acceptance results of the rights issue and the placement results of the compensation arrangement, a total of 240 million rights shares will be allotted and issued, accounting for 99.99% of the total number of rights shares offered for subscription under the rights issue. The directors, after making all reasonable inquiries, are fully aware and confident that all placees and their respective ultimate beneficial owners (if applicable) are independent of the company and its connected persons and have no connection with them, and are not connected persons of the company; and after the completion of the placement, no placee has become a major shareholder of the company.
As all conditions related to the rights issue as stated in the rights issue prospectus have been fulfilled, the rights issue has become unconditional on November 13, 2024 (Wednesday). Therefore, the total amount raised from the rights issue (including the compensation arrangement) is approximately HKD 24 million, and the net proceeds from the rights issue (after deducting all related expenses) are approximately HKD 22.74 million. As disclosed in the rights issue prospectus, the company intends to use the net proceeds from the rights issue for the following purposes: approximately 44.38% (or approximately HKD 10.09 million) for the acquisition of generators; approximately 35.51% (or approximately HKD 8.08 million) for financial services business; and approximately 20.11% (or approximately HKD 4.57 million) for the group's general working capital, including but not limited to directors' remuneration, employee costs, and professional fees