Friday 29 Mar 2024
By
main news image

This article first appeared in The Edge Financial Daily on November 19, 2019

KUALA LUMPUR: WZ Satu Bhd is planning to raise up to RM72.3 million from a renounceable rights issue of irredeemable convertible preference shares (ICPS) with free detachable warrants.

The ICPS will be issued to shareholders at an entitlement date to be fixed on the basis of three ICPS for every four shares held and one free detachable warrant (Warrant B) for every four ICPS subscribed for, the company said in a Bursa Malaysia filing yesterday.

WZ Satu plans to amend the company’s constitution to facilitate the ICPS’ issuance.

The issue price of the ICPS and the warrants’ exercise price will be determined later. As much as RM72.3 million is expected to be raised, based on an illustrative issue price of 15 sen per ICPS, if up to 482.3 million ICPS are issued.

Of the proceeds, up to RM71 million will be used to fund future construction and/or project financing activities, and the remainder for working capital and to defray estimated expenses in relation to the proposals, WZ Satu said.

Barring any unforeseen circumstances and subject to the relevant approvals being obtained, the proposals are expected to be completed in the second quarter of 2020.

      Print
      Text Size
      Share