KUALA LUMPUR (May 17): Cypark Resources Bhd has proposed to raise up to RM64.37 million via a new share placement to third party investors to meet the working capital for its engineering, procurement, construction and commissioning (EPCC) of a 30-megawatt solar photovoltaic plant at Empangan Kelinchi, Negeri Sembilan.

Cypark had on Jan 25 bagged an EPCC, and operation and maintenance contracts worth a combined RM260.51 million, for the solar plant from Cove Suria Sdn Bhd.

In a filing to Bursa Malaysia today, Cypark said the proposed private placement involves the issuance of up to 28.74 million new shares, representing up to 10% of the issued shares of Cypark, at an issue price to be determined and announced later.

For illustrative purposes, at the indicative issue price of RM2.24 per placement share, which represents a discount of 9.6% to the five-day volume weighted average market price of Cypark shares as at April 30 of RM2.4779 per share, the proposed private placement is expected to raise estimated gross proceeds of between RM58.56 million and RM64.37 million.

"Barring any unforeseen circumstances and subject to all required approvals being obtained, the proposed private placement is expected to be completed by the fourth quarter of 2018," it added.

Cypark shares up 2 sen or 0.83% at RM2.42 today, giving it a market capitalisation of RM632.62 million.