KUALA LUMPUR: Sunview Group Bhd
has proposed a private placement of up to 10% of its issued share capital to raise funds mainly for working capital to support its engineering, procurement, construction and commissioning (EPCC) projects.
In a filing with Bursa Malaysia, Sunview said the private placement will involve the issuance of up to 56.77 million new shares to third-party investors to be identified later.
Based on an illustrative issue price of 33.5 sen per share, the exercise is expected to raise gross proceeds of up to RM19.02mil.
Sunview said the issue price will be fixed later at a discount of not more than 10% to the five-day volume-weighted average market price prior to the price-fixing date.
It said about RM18.52mil of the proceeds will be used for working capital for its EPCC projects, including the purchase of solar-related materials, payments to subcontractors and operating expenses.
The remaining RM500,000 will be used to cover estimated placement expenses.
Sunview noted that since its ACE Market listing in 2022, it has completed two fundraising exercises in 2024, raising a combined RM55.75mil.
Together with IPO proceeds of RM34.22mil, all funds raised to date have been fully utilised.
Sunview said the board considers the private placement to be the most suitable fundraising option as it allows the group to raise funds without incurring interest costs, strengthens its capital base and improves share liquidity.
The private placement is subject to approval from Bursa Securities for the listing and quotation of the new shares.
