Ko Yo Chemical (Group) Limited (HKG:0827) announced that the company and IFC have agreed the lapse of the subscription agreement and the subscription will not proceed. Nevertheless, IFC will continue the discussion with Ko Yo Chemical on other potential financing arrangement. The directors of Ko Yo Chemical are of the view that the lapse of the subscription agreement does not have a material adverse effect on the business plan, operation and financial position of Ko Yo Chemical or its subsidiaries as a whole.

Ko Yo Chemical and IFC entered into a subscription agreement last year, pursuant to which, IFC had agreed to subscribe US$8 million (HK$62.4 million) new shares at an aggregate consideration of US$7 million (HK$54.6 million).

Source:chinesestock.org