KUALA LUMPUR (Mar 31): Property developer MCT Bhd, which is undertaking a reverse takeover (RTO) process on GW Plastics Holdings Bhd, has fixed the price for its new placement shares at RM1.28, aiming to raise RM384 million.

In a filing with Bursa Malaysia today, GW Plastics (fundamental: 1.65; valuation: 0.3) said 300 million new shares under the proposed private placement and proposed bumiputera issue have been fully allocated to the identified investors and bumiputera investors.

“Hence, based on the placement price and the issue price for the Bumiputera shares of RM1.28 per new share, a total of RM384 million gross proceeds were raised by the company from the proposed private placement and proposed bumiputera issue,” the filing read.

The company, however, said the utilisation of these proceeds would only be announced later after obtaining the approval from its board of directors.

The filing also mentioned that the acceptances and payments for the non-renounceable shareholder offer shares under the proposed vendors’ restricted offer for sale to shareholders, received a valid acceptance of 2.45 million shares.

The amount of acceptances represents an undersubscription of 66.28% over the total number of 7.27 million shareholder offer shares available for subscription.

Apart from the aforesaid restricted offer, there is another restricted offer of 150 million shares allocated to identified investors at RM1.28 per share either, according to the filing.

Collectively, both of the restricted offers had raised about RM195.1 million.

The entire sum of RM195.1 million will accrue to MCT’s major shareholders Tan Sri Barry Goh Ming Choon and Datuk Seri Tong Seech Wi, who would own about 42.4% and 22.8% stake respectively in MCT subsequent to the RTO.

(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)