Censof plans private placement to subscribe DNEX rights shares

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KUALA LUMPUR (Nov 12): Censof Holdings Bhd has proposed a private placement of up to 77.26 million new shares or 10% of its enlarged issued share capital to partly pay for the undertakings of Dagang Nexchange Bhd’s (DNEX) rights shares and for working capital.

In a filing with Bursa Malaysia today, Censof said the proposed private placement will cater to third party investor(s) to be identified and at an issue price to be determined later.

It added that it intends to utilise the working capital portion of the proceeds for future business development and regional expansion, to pay staff salaries and operational-related expenses, and for research and development purposes.

Censof currently owns 39.23% of stake in DNEX (formerly Time Engineering Bhd), after the former disposed 5.8% stake or 45 million shares via a “private arrangement” on July 11, according to DNEX’s filing to the exchange.

Censof shares fell half sen or 0.87% to 57 sen today, with 8.85 million shares traded, giving it a market capitalisation of RM257.44 million.