08069.HK announced that on May 5th, 2022, the Company entered into a placing Agreement with the placing Agent, under which the Company conditionally agreed to use the placing Agent to use its best efforts to place a maximum of 80 million placing shares to not less than six Placees at a placing price of HK $0.281 per placing share.
Assuming that there will be no change in the issued share capital of the Company between the announcement date and the completion date, the maximum number of placing shares is 80 million shares representing (I) 20.00% of the issued share capital of the Company as at the date of the announcement; and (ii) approximately 16.67% of the issued share capital of the Company as enlarged by the allotment and issue of all the placing shares. The total face value of the maximum number of placing shares will be HK $800000.
The placing Price of HK $0.281 per placing share represents a discount of approximately 19.71% to (I) the closing price of HK $0.350 per share as quoted on the Stock Exchange on the date of the placing Agreement; and (ii) a discount of approximately 16.86% to the average closing price of HK $0.338 per share as quoted on the Stock Exchange for the last five consecutive trading days up to and including the date of the placing Agreement.
Assuming that all the placing shares are fully placed, the total placing proceeds and the net proceeds (after deducting the placing commission and other expenses) will be approximately HK $22.48 million and HK $21.9 million respectively, accounting for approximately HK $0.274 per placing share. The company intends to use the net proceeds as the general working capital of the Group and for general corporate purposes to support the Group's strategy.