Infinio Group proposes share placement to raise S$2.24m

MINERAL oil and gas firm Infinio Group is seeking to raise S$2.24 million through a proposed share placement of some 1.26 billion shares at 0.18 Singapore cent apiece.

This issue price represents a 10 per cent discount to the volume weighted average price of 0.2 Singapore cent for trades done on Jan 17, being the last full market day on which the share subscription agreements were signed.

The subscription shares will collectively represent about 50 per cent of the existing shares of the company as of Wednesday, and 33.3 per cent of the company's enlarged share capital.

In a Singapore Exchange (SGX) filing on Wednesday night, Infinio said it has entered into separate share subscription agreements with eight subscribers: Wu Dawu, Jesper Lim Chin Yiong, Dara Rok Ing, He Xiaocong, Oh Keh Yew, Sun Dang Shun, Tan Hong Eng and Ho Seow Kai.

They are private investors who are business associates of Wang Zhen Wen and will be subscribing to the shares for their "personal investment purposes", the company said.

Mr Wang is a director of a construction busines who entered into a S$2.95 million loan agreement with Infinio in December last year.

Infinio added that net proceeds from the share placement will be used for working capital purposes.