An announcement was issued to China International (01871). After certain conditions have been met, shares will be offered on the basis of issuing 1 share for every 2 shares held on the record date. The subscription price is HK$0.2 per share. The total amount raised is approximately HK$40 million (before deducting expenses) by issuing up to 200 million shares (before expenses) (assuming there is no change in the number of shares issued on or before the record date).
The subscription price is HK$0.2 per share, which is approximately 18.37% off from the closing price of HK$0.245 per share on the last trading day. Assuming that there is no change in the number of shares issued on or before the record date, the 200 million shares offered to be issued under the share offer terms accounted for 50% of the total number of shares issued on the date of this announcement and about 33.33% of the total number of shares issued after all allotments and the issuance of shares were expanded.
On January 16, 2024, the company entered into a placement agreement with the placement agent. The placement agent agreed to induce independent undertakers to subscribe for unsubscribed shares and unqualified shareholders to not sell the shares offered on a best-effort basis. The placement price of unsubscribed shares and unsold shares by unqualified shareholders shall not be lower than the subscription price. The final price will be determined based on demand and market conditions for unsubscribed shares and unsold shares from unqualified shareholders during the placement process.
The net proceeds from the share offering are estimated at approximately HK$38.2 million (assuming no change in the number of shares issued on or before the record date) and is intended to repay the Group's liabilities.