China Medical (International) to raise S$5.5m from shares, warrants placement

CHINA Medical (International) Group Limited said that it had on Oct 23 entered share subscription agreements and warrant subscription agreements to raise S$5.48 million in total.

Two share subscribers agreed to subscribe for a total 500 million new ordinary shares at an issue price of 1.03 Singapore cents; three warrants subscribers agreed to subscribe for up to 800 million non-listed and non-transferable warrants at an exercise price of 1.03 Singapore cents.

The issue price and exercise price represent a 10 per cent discount to the volume-weighted average price of 1.14 Singapore cents for trades done on the company's shares for the full market day from Oct 18 up to and including Oct 21.

Estimated net proceeds from the proposed shares placement and warrants placement are S$5.1 million and S$380,000 respectively. The group plans to use the proceeds for stake acquisitions in two companies held by Asia Pacific Medical Group Limited.