Digital China (00861) said it proposes to its subsidiary Digital China Information Service Company Ltd. (DCITS) that, in order to have a wider equity capital base and to improve the liquidity in the trading of its shares, DCITS should issue a total of 459 million new shares in a total amount of Rmb459 million by way of conversion of capital reserve of DCITS on the basis of ten new shares for every ten existing shares of DCITS.
The new shares will be issued on a pro rata basis and therefore the shareholding percentage held by Digital China in DCITS will remain unchanged.
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