KUALA LUMPUR: PRESS METAL BHD [] has proposed a rights issue to raise between RM316.7 million and RM323.7 million to finance the Samalaju aluminium smelting project in Sarawak.
The company said on Friday, April 15 the rights issue involved the issuance of up to RM323.73 million nominal value of redeemable convertible secured loan stocks (RCSLS) at 100% of its nominal value with up to 147.15 million warrants.
Press Metal said this would be on the basis of one RM2.20 nominal value of RCSLS together with one warrant for every three shares held.
It said the rights issue was to advance funds to its unit Press Metal Bintulu Sdn Bhd to part finance the 120,000'' tonnes capacity aluminium smelting plant and infrastructure building cost to cater for additional 120,000 tonnes capacity in Samalaju.
'Press Metal Bintulu has received the approval from Sarawak State Planning Authority to develop a smelting plant in Samalaju Industrial Park, Bintulu, Sarawak with an initial capacity of 240,000 tonnes per annum and barring any unforeseen circumstances, the smelting plant is expected to be completed by end of 2012,' it said.
On the cash call, Press Metal said the RCSLS shall be issued at 100% of its nominal value. The conversion price of the RCSLS'' is RM2.20 for one new share.
It said the conversion price was 22 sen or 9.09% discount to RM2.42, which was the five-day volume weighted average price up to April 14.
As for the warrants, it would entitle its holder to subscribe for one new share at the exercise price of RM2.20. This was a discount of 22 sen or 9.09% discount to RM2.42, which was the five-day VWAP of the shares up to April 14.
Press Metal said the proposed rights issue would be undertaken on a minimum subscription level basis of RM300 million nominal value of RCSLS.
This was also based on the undertaking given by Alpha Milestone Sdn Bhd, of which Datuk Koon Poh Keong and Koon Poh Ming, who are directors and substantial shareholders of Press Metal, will renounce their respective entitlements to the RCSLS and warrants as at the entitlement date to Alpha Milsestone.
The Koon brothers are the directors and shareholders of Alpha Milestone, each holding 50% equity interest respectively.
Alpha Milestone will subscribe for the RCSLS and warrants renounced by the Koon Brothers.
The company said on Friday, April 15 the rights issue involved the issuance of up to RM323.73 million nominal value of redeemable convertible secured loan stocks (RCSLS) at 100% of its nominal value with up to 147.15 million warrants.
Press Metal said this would be on the basis of one RM2.20 nominal value of RCSLS together with one warrant for every three shares held.
It said the rights issue was to advance funds to its unit Press Metal Bintulu Sdn Bhd to part finance the 120,000'' tonnes capacity aluminium smelting plant and infrastructure building cost to cater for additional 120,000 tonnes capacity in Samalaju.
'Press Metal Bintulu has received the approval from Sarawak State Planning Authority to develop a smelting plant in Samalaju Industrial Park, Bintulu, Sarawak with an initial capacity of 240,000 tonnes per annum and barring any unforeseen circumstances, the smelting plant is expected to be completed by end of 2012,' it said.
On the cash call, Press Metal said the RCSLS shall be issued at 100% of its nominal value. The conversion price of the RCSLS'' is RM2.20 for one new share.
It said the conversion price was 22 sen or 9.09% discount to RM2.42, which was the five-day volume weighted average price up to April 14.
As for the warrants, it would entitle its holder to subscribe for one new share at the exercise price of RM2.20. This was a discount of 22 sen or 9.09% discount to RM2.42, which was the five-day VWAP of the shares up to April 14.
Press Metal said the proposed rights issue would be undertaken on a minimum subscription level basis of RM300 million nominal value of RCSLS.
This was also based on the undertaking given by Alpha Milestone Sdn Bhd, of which Datuk Koon Poh Keong and Koon Poh Ming, who are directors and substantial shareholders of Press Metal, will renounce their respective entitlements to the RCSLS and warrants as at the entitlement date to Alpha Milsestone.
The Koon brothers are the directors and shareholders of Alpha Milestone, each holding 50% equity interest respectively.
Alpha Milestone will subscribe for the RCSLS and warrants renounced by the Koon Brothers.
No comments:
Post a Comment