YB Ventures rights issue 46.6% oversubscribed, raises RM48.4mil

YB Ventures executive director Datuk Au Yee Boon

KUALA LUMPUR: YB Ventures Bhd’s rights issue of irredeemable convertible unsecured loan stocks (ICULS) at 4 sen per rights share was oversubscribed by 46.6%.

In a statement Monday, YB Ventures said the 1.2 billion ICULS will be listed and quoted on the main market of Bursa Securities on Sept 10.

“The group will raise about RM48.4mil, exceeding the minimum subscription level to be raised of RM7.5mil,” it said.

The valid acceptances and valid excess applications totalled 1.77 billion rights shares, compared with the 1.21 billion made available for subscription.

Of the total oversubscribed rights shares, 1.06 billion or 87.8% are valid acceptances, while the remaining 710.34 million or 58.8% are valid excess applications.

Executive director Datuk Au Yee Boon said the overwhelming response was an encouraging indication by its shareholders on the group’s business fundamentals and future perspectives, to further grow its market share and bottom line.

“We are on the right track in implementing our strategic transformation plan, and I am positive that the group may even achieve its internal targets ahead of our expectations as we step up our momentum,” he said.

“YB Ventures seeks to expand its production capacity and capitalise on the recovery of its operating markets.

“The nearly RM49mil raised from the ICULS issuance will provide adequate support to achieve these objectives,” Au said.

He explained that shareholders who wish to convert the ICULS could either opt to top up 44 sen to convert (RM0.48 – RM0.04 ICULS issue price), or surrender 12 ICULS for one new YB Ventures share.