KUALA LUMPUR: KNM Group Bhd has proposed a private placement of up to 987.52 million new shares, representing 30% of its share capital, to raise RM167.9mil, mainly to repay bank borrowings.
In a filing with Bursa Malaysia, it said up to 493.76 million placement shares, which represents 50% of the total placement shares, will be placed to its executive vice-chairman and major shareholder Gan Siew Liat.
The balance shares will be placed to other independent investors to be identified at a later date.
Based on the volume weighted average market price of KNM shares for the five market days immediately preceding the price fixing date, the issue price of the placement shares to Gan will be 18 sen apiece while the issue price for the remaining shares will be at 16 sen each.
This will raise gross proceeds of about RM167.9mil.