KUALA LUMPUR (Sept 26): PRG Holdings Bhd said the Stock Exchange of Hong Kong Limited (HKEX) has given its nod to the group to list its manufacturing business Furniweb Holdings Ltd (Listco) on the latter’s Growth Enterprise Market (GEM).

In a filing with Bursa Malaysia today, PRG said HKEX had vide its letter dated yesterday, given its in-principle approval for the application of the proposed listing.

A formal and final approval will be granted by HKEX before the trading in the new ordinary shares of nominal value of HKD0.10 each in Listco commences.

The property developer first announced its plan to list its manufacturing unit on HKEX on Sept 29, 2016, while on May 11 this year, it said it had submitted its listing application to HKEX.

PRG explained the proceeds raised from the exercise will accrue entirely to Listco and is proposed to be utilised for any future expansion of business and working capital purposes of the manufacturing and manufacturing-related businesses of Listco Group.

Once the proposed listing is completed, PRG will continue to be a controlling shareholder, holding not more than 75% of the enlarged issued share capital of Listco.

RHB Investment Bank Bhd acts as adviser to PRG for the proposed listing, while Shenwan Hongyuan Capital (HK) Ltd is the sole sponsor.

At 2.20pm, PRG’s share price stood at RM1.01, valuing it at RM303.71 million.