LHN raises HK$79.8 m in gross funds from Hong Kong share offering

SINGAPORE-LISTED LHN on Thursday said its offering of 42 million new shares at HK$1.90 each in its dual-listing in Hong Kong has raised HK$79.8 million (S$13.7 million) in gross proceeds.

The bulk of the net proceeds of HK$46.5 million or about 60 per cent of the funds is expected to be used for the expansion of the firm's space optimisation business by acquiring a new property in Singapore.

The remaining amount will go into buying a property in Singapore to operate a parking yard for its logistics vehicles and logistics services management business, the company's first operation in China, general working capital purposes as well as transportation equipment.

The real estate management services group, in a Singapore filing, said that the Hong Kong offering of shares was about 5.93 times subscribed, while the international offering portion was subscribed 1.13 times.

The international offer shares make up 90 per cent of the offering while the rest are Hong Kong offer shares.

The offer shares represent some 10.4 per cent of the enlarged share capital of the company upon completion of the global offering.

Trading in Hong Kong is expected to begin on Dec 29.

LHN's sole sponsor is Fortune Financial Capital, while Pacific Foundation Securities and Fortune (HK) Securities are the joint bookrunners and joint lead managers for the offering.