KUALA LUMPUR (Oct 13): Kanger International Bhd has proposed a private placement of up to 386.97 million shares to raise RM68.88 million, to be used for working capital and future investment.

In a filing with Bursa Malaysia, the group said it plans to undertake a private placement of up to 20% of the total number of issued shares of Kanger to third party investor(s) to be identified later.

Based on the indicative issue price of RM0.1780 per placement share, the proposed private placement is expected to raise gross proceeds of up to RM68.88 million

Of this amount, RM34.38 million will be allocated for future viable investment while RM34.38 million will be used working capital for existing business.

At the time of writing, the counter’s share price rose 3 sen or 13.51% to 21 sen, giving it a market capitalisation of RM338.99 million.