Co-Prosperity Holdings (HKG:0707) proposes to issue 585.75-805.34 million offer shares on the basis of 2 offer shares for every 1 shares held by qualifying shareholders, at a price of HK$0.18 per share, representing a 11.33% discount to the closing price of HK$0.203 yesterday.

The estimated net proceeds from the open offer will be HK$104-143 million.

The company also entered into an underwriting agreement, pursuant to which, the underwriter (Sze Siu-hung, the executive director and the controlling shareholder of the company) has agreed to underwrite the underwritten shares which have not been taken up by the qualifying shareholders.

The board proposes to seek the approval at the extraordinary general meeting of the company to increase in its authorised share capital from HK$200 million divided into 2 billion shares to HK$700 million divided into 7 billion shares by creating an additional 5 billion unissued shares.

Source:chinesestock.org