Zhonglian Development Holdings (00264) announced that all conditions contained in the placement agreement have been met, and that the placement was completed on November 6, 2023. The placement agent successfully placed 30 million placed shares to no less than six contractors at an placement price of HK$0.45 per placed share. The 30 million placed shares under the placement program accounted for about 7.27% of the expanded issued share capital.
The net proceeds from the placement were approximately HK$13.2 million. The Company intends to use the net proceeds from the placement for the following purposes: expanding production capacity; enhancing R&D capabilities; repaying loans; and providing general working capital and enhancing the Group's financial position.