Beijing Capital Finance International (01468) plans a “2 for 1” benchmark share offering to raise HK$542 million

Zhitongcaijing · 10/18 14:57

According to the Zhitong Finance App, Beijing Finance International (01468) issued an announcement. The company proposes to issue a maximum of 596 million shares to be offered at a subscription price of HK$0.91 per share at the end of business hours on the record date according to the share offering method, to raise a total amount of approximately HK$543 million (before deducting expenses). The share offering is for the participation of eligible shareholders only, and will not be presented to unqualified shareholders (if any).

Assuming that the proposed acquisition is completed and that the compensatory shares have been allocated and issued on or before the record date, the company will have 1,1925 million issued shares. As a result, the maximum number of shares to be issued according to the share offering is 596 million shares. Under these circumstances, the estimated net proceeds from the stock offering (if fully subscribed) will be up to approximately HK$542 million (assuming no change in the number of shares issued on or before the record date). The Company intends to use the net proceeds from the share offering of approximately HK$271 million (approximately 50% of total net proceeds) to expand the Group's securities business, such as margin finance and underwriting business; approximately HK$162 million (accounting for about 30% of total net proceeds) to finance the Group's debt lending business; and approximately HK$108 million (accounting for about 20% of total net proceeds) for the Group's general working capital.