KUALA LUMPUR (Jan 4): Ho Wah Genting Bhd proposed a private placement of up to 34.24 million new shares to third party investors to raise funds for working capital and repayment of borrowings.

Wire and cable manufacturer Ho Wah Genting said in a statement to Bursa Malaysia today the private placement may be implemented in one or more tranches within six months from the date of Bursa's approval or any extended period approved by Bursa.

"The issue price of each tranche of the placement shares, where applicable, shall be determined separately and announced by the company at a later date following the receipt of relevant approval for the proposed private placement based on the volume weighted average market price of HWGB (Ho Wah Genting) shares for the five market days immediately prior to the price-fixing date, with a discount of not more than 10%.

"Subject to the relevant approvals being obtained and barring any unforeseen circumstances, the proposed private placement is expected to be completed by the first half of 2019," Ho Wah Genting said.

The group said its board has appointed Kenanga Investment Bank Bhd as adviser and placement agent for the private placement.