About HK$27.2mn of the proceeds will be used for the expansion of the Groups’ production capacity including construction of new workshops.
China Print Power Group Limited (“Print Power”), a company listed on SGX-ST and principally engaged in printing books and manufacturing specialised products, on Monday announced its Share Offer allotment results on The Stock Exchange of Hong Kong (“SEHK”). The Public Offer Shares were approximately 100 times over-subscribed and the Placing tranche also received a positive response and was moderately over-subscribed. The Offer Price of the share was fixed at HK$1.48 per share. VC Brokerage Limited is the Sole Bookrunner and Lead Manager for the Share Offer.
The Public Offer, which closed on Monday, 4 July 2011, received 2,556 valid applications for 393,516,000 Public Offer Shares, approximately 101 times the 3,900,000 Public Offer Shares initially available. The Offer Price of the share was fixed at HK$1.48 per share.
Commenting on this encouraging response, Mr. Sze Chun Lee, CEO and Executive Director of Print Power, said, “The subscription results demonstrate the confidence of both retail and institutional investors in our business and prospects. Despite the volatile market sentiment, the Share Offer of Print Power was completed smoothly and successfully. The imminent dual primary listing of our shares on the SEHK is another important milestone for the Group. This will definitely further enhance the Group’s profile in Hong Kong and the PRC and allow investors to participate in the growth of the Group.”
The over-subscription in the Public Offer has activated the clawback mechanism. The final number of Offer Shares under the Public Offer has been increased to 19,500,000 Offer Shares, and the number of Offer Shares for the Placing has been reduced to 19,500,000 Offer Shares, according to a China Print Power report.
Based on the final offer price of HK$1.48 per share, the estimated net proceeds from the issue of new shares under Placing and Public Offer amounted to approximately HK$31.6 million. Approximately HK$27.2 million will be used for the expansion of the Groups’ production capacity including construction of new workshops, approximately HK$1.6 million for the expansion of the Group’s sales and distribution network and the promotion of our new products. The remaining balance will be used as working capital for the Group.
Dealing in the shares of Print Power is expected to commence on the Main Board of SEHK on Tuesday, 12 July 2011 under the stock code 6828 in board lot of 2,000 shares.
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