[ET Net News Agency, 22 September 2014] Mongolia Energy Corporation (00276) said it
agreed to issue five-year 3% convertible notes to chairman Lo Lin Shing, Simon, Cheng Yu
Tung and Och-Ziff Capital Management Group LLC's subsidiaries in the principal amount of
up to HK$543 million, HK$2,427 million and HK$500 million respectively.
The initial conversion price is HK$0.23 per share, representing a premium of about 1.3%
over the adjusted closing price of HK$0.908 per new share.
Upon full conversion, it is expected that the aggregate voting rights of Mongolia Energy
Corporation held by Lo Lin Shing and his spouse, Cheng Yu Tung, Cheng Kar Shun, Henry and
his spouse will increase to 77.21% from 27.12%.
Besides, Mongolia Energy Corporation proposes to consolidate every four existing shares
of HK$0.02 each into one consolidated share of HK$0.08 each and reduce the par value of
each issued consolidated share from HK$0.08 to HK$0.02. It also proposes to change the
board lot size for trading in the shares from 1,000 existing shares to 3,000 new shares
upon the capital reorganisation becoming effective. (HL)