Dream Oriental (00593) announced that on February 5, 2024, the company entered into a placement agreement with the placement agent. The company has agreed to use the placement agent to place up to 109 million shares at the placement price of HK$0.135 per share according to the best effort basis. The placement shares account for about 16.67% of the expanded company's issued share capital. The placement shares account for about 16.67% of the expanded company's issued share capital, with a discount of HK$0.135 per share from the closing price of HK$0.160 per share on February 5.
Assuming that up to 109 million shares of the placement have all been placed, the total proceeds and net proceeds are estimated to be approximately HK$147.36,500 and HK$14.0942 million, respectively. The Company intends to use the net proceeds of the placement of HK$12.68 million to repay the Group's debts and interest expenses and HK$1.41 million as the Group's general working capital.