Zhitong Financial App News, Guohua (00370) issued an announcement about the results of the rights issue of up to 610 million rights issue shares on the basis of "5 rights issues". At 4: 00 p.m. on Monday, September 11, 2023 (that is, the deadline for rescheduled acceptance of rights shares and payment), the company received nine valid acceptances of about 505.4 million rights issue shares tentatively allotted under the rights issue. It is equivalent to about 82.84% of the total number of rights issue shares offered for sale according to the rights issue. As a result, about 104.7 million rights issue shares under the rights issue are undersubscribed, equivalent to about 17.16% of the total number of rights issue shares available for subscription under the rights issue.
As at the record date, one unqualified shareholder held a total of 800000 shares. The Company has sold on the market all unpaid rights shares which should have been provisionally allotted to the unqualified shareholder and, therefore, there are no unsold rights shares by the unqualified shareholders.
At 04:00 on Tuesday, 19 September 2023 (being the rescheduled deadline for the placing Agent to place unsubscribed Rights shares under the placing Agreement), 60.77 million unsubscribed Rights shares have been successfully placed to not less than six Placees at the placing Price of HK $0.16 per placing share (equal to the subscription Price). Therefore, there is no net income available for distribution to inactive shareholders under the compensation arrangement.
All conditions relating to the rights issue and the placing matters as set out in the prospectus have been fulfilled and the rights issue and the placing matters are becoming unconditional at 04:00 on Wednesday, 20 September 2023. The total amount of proceeds raised from the rights issue (including the placing) is about HK $90.6 million (before deducting expenses). Trading in the Rights shares (in the form of fully paid up) and the placing shares is expected to commence on the Stock Exchange at 9: 00 a.m. on Friday, 22 September 2023.
In addition, immediately following the completion of the adjustment due to the rights issue, the number of adjusted shares issued after the full exercise of the share options is approximately 100 million at an adjusted exercise price of HK $0.7194 per share, with effect from 21 September 2023.