Eversendai scraps RM75.8m private placement plan

KUALA LUMPUR (Feb 7): Eversendai Corp Bhd said it has scrapped a private placement plan to raise up to RM75.84 million. It did not give a reason for the decision.

In a filing yesterday with Bursa Malaysia, Eversendai said it had delivered a termination notice to Macquarie Bank on Monday.

"The termination of the private placement will be effective Feb 19, pursuant to the clause set in the subscription agreement," the filing added.

On Aug 15 last year, Eversendai had proposed to undertake a private placement of up to 77.39 million new shares, representing up to 10% of the company’s total number of issued shares. It had on even date entered into a conditional share subscription agreement with Macquarie Bank in relation to the issuance of the placement shares.

Based on an indicative issue price of 98 sen per placement share, the proposed private placement was to have raised an estimated gross proceeds of up to RM75.84 million. Eversendai had intended to use the bulk of proceeds to repay borrowings and the rest for working capital.

The proposed private placement was expected to be completed by the first quarter of 2018.

Eversendai shares closed down 3.5 sen or 4.27% at 78.5 sen yesterday, with 1.83 million shares done, bringing a market capitalisation of RM613.08 million. — theedgemarkets.com

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