KUALA LUMPUR (Nov 12): Oversea Enterprise Bhd (OEB) plans to raise up to RM27.65 million via a private placement to fund its business expansion activities and working capital requirements.  
 
In a bourse filing, the Chinese restaurant chain operator said it will be placing 48.50 million shares — representing 20% of its share capital — to selected third-party investors to be identified later. 
 
The issue price of the private placement will also be determined later. Based on an illustrative price of 57 sen per placement share, OEB said the exercise would result in the group raising RM27.65 million, of which RM22 million will be used to fund the refurbishment of existing outlets and the setting up of new outlets. 
 
Another RM4.68 million would be used as working capital, while the balance of RM965,000 would be used to defray expenses associated with the exercise.  
 
OEB owns and operates restaurant chains under the name of Oversea. Currently, it has five restaurant outlets.  
 
The proposed exercise is expected to be completed in the fourth quarter of this year. 
 
OEB’s share price closed unchanged at 66 sen, valuing the group at RM160.06 million. Some 65,000 shares were transacted.