KUALA LUMPUR (Oct 29): Yong Tai Bhd has proposed to undertake the issuance of up to 180.0 million new redeemable convertible preference shares (RCPS) at an issue price of RM1 per RCPS and amendments to its constitution to facilitate the issuance of the shares.
In a filing with Bursa Malaysia on Thursday, the company said it had entered into a conditional subscription agreement with RHB Trustees Bhd as trustee for Areca Strategic Income Fund 7.0 in relation to the proposed issuance of RCPS.
“The proposed issuance is expected to raise gross proceeds of up to RM180.0 million, which are intended to be utilised for financing the developments within Impression City, development of Courtyard by Marriott Hotel, future business projects, cost in relation to the collaboration, working capital requirements, and estimated expenses in relation to the proposals,” it said.
The exercise would enable Yong Tai to raise the requisite funds to part finance the group’s development within Impression City and Courtyard by Marriott Hotel, as well as the group’s venture into new businesses and mining operations, it added.
On prospects, Yong Tai said it would focus on completing all ongoing development projects, namely The Apple, Amber Cove, The Dawn, and Impression U-Thant with a total unbilled revenue of RM248.78 million.
On Sept 14, the group had entered into a collaboration agreement with Opustiqe Infinity Limited, Cheng Ho International Trade Centre and Culture City Centre Sdn Bhd and Oriental Impression City Development Sdn Bhd for the China-Element Project together with the development of the remaining land located in Impression City, Melaka.
“The group believes that the collaboration with these new partners from China and United Kingdom would facilitate to attract investment funds from potential investors and State Enterprises from the People’s Republic of China under the One Belt One Road initiatives by the China Government,” it said.
On mining operations, it said the business would allow the group to have a new revenue stream through the sale proceeds arising from all gold, rock materials and other minerals extracted from the land, in light of the Covid-19 pandemic which has soften the performance of the real property and tourism market.
Get the latest news @ www.EdgeProp.my
Subscribe to our Telegram channel for the latest stories and updates
TOP PICKS BY EDGEPROP
Taman Mawar, Bandar Baru Salak Tinggi