[ET Net News Agency, 4 July 2018] CMBC Capital (01141) said it agreed to place, on a
best effort basis, up to 830 million new shares at HK$0.363 per share, representing a
discount of about 18.4% to the closing price of HK$0.445.
The placing shares represent about 1.73% of the enlarged issued share capital of CMBC
Capital.
CMBC Capital also agreed to place 1,350 million new shares to controlling shareholder
CMBC International Investment Limited at HK$0.363 per share, representing around 2.81% of
the enlarged issued share capital of CMBC Capital.
The net proceeds from the placing and subscription will be about HK$295 million and
HK$490 million. It is intended that 60% of the proceeds will be used for the expansion of
loan and financing business of the Group; 10% will be used to further strengthen the
Group's brokerage service capability; 10% will be used for the expansion of the Group's
corporate finance advisory business of the Group; 10% will be used for the development of
asset management business; and 10% will be used for general working capital of the Group.
(HL)