YuuZoo secures S$30m funding from GEM Global
YUUZOO Corp has secured a S$30 million funding facility for the next three years from New York-based private alternative investment group GEM Global Yield Fund.
The facility will be in the form of a capital commitment for YuuZoo to draw down funds over the three years of the agreement by issuing ordinary shares to GEM Global at a 10 per cent discount of YuuZoo shares' closing price on the date of the drawdown request.
The firm has no obligation to draw on the funds on offer and will control the timing and maximum amount of any drawdown under the facility subject to a requirement that GEM Global's holding of YuuZoo shares will not exceed 19.9 per cent of YuuZoo shares on issue.
YuuZoo has also agreed to issue 55 million warrants to GEM Global with each carrying the right to subscribe for one new YuuZoo share. The warrants will be issued within 60 days of the company obtaining shareholder approval for the agreement which was signed between the two parties on Sept 4.
YuuZoo will pay GEM Investments America LLC, an associated company of GEM Global, a one off commitment fee of S$450,000 (1.5 per cent of the total facility).
The agreement is supported by a share lending arrangement whereby shares controlled by Thomas Zilliacus, YuuZoo's executive chairman and chief executive, are lent to GEM Global at no cost to YuuZoo between the period of the drawdown request and share issue.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Companies & Markets
Frasers Property H1 profit slides 81% on property value losses, lower residential contributions
US bill to restrict WuXi AppTec, Chinese biotechs revised to give more time to cut ties
Barclays cuts jobs in energy transition team it only just built
UMS Holdings Q1 net profit drops 44% to S$9.8 million
SIA Engineering H2 profit rises 11.5% to S$37.8 million on robust aviation MRO demand
Great Eastern shares jump 39% as OCBC mounts S$1.4 billion privatisation bid at S$25.60 per share