[ET Net News Agency, 17 September 2019] Shunten International (Holdings) Limited
(00932) said its placing agent has conditionally agreed to procure, on a best effort
basis, not less than six placees to subscribe for convertible bonds in an aggregate
principal amount of up to HK$200 million at the initial conversion price of HK$0.43 per
conversion share.
The initial conversion price represents a premium of approximately 2.38% over the
closing price of HK$0.42 per share on the date of the placing agreement.
On the assumption that the convertible bonds would be converted into conversion shares
in full at the initial conversion price, the 465.12 million conversion shares represent
approximately 15.59% of the issued share capital of the company as to be enlarged by the
allotment and issue of the conversion shares.
The company proposes to apply (i) approximately 50% of the net proceeds to redeem the
outstanding principal amount of the existing CB, interest and other amounts accrued
thereunder of approximately HK$179 million; (ii) approximately 40% of the net proceeds to
enhance and further develop the formulating, marketing, sale and distribution of health
and beauty supplements and products in Hong Kong and the PRC; and (iii) approximately 10%
of the net proceeds to replenish the group's general working capital. (RC)