LifeBrandz raises S$5m from rights, warrants issue

FOOD and beverage group LifeBrandz on Friday said its renounceable non-underwritten issue of rights with warrants was about 103 per cent subscribed.

It received valid acceptances and valid excess applications for a total of about 1.06 billion rights shares with warrants as at Thursday, the closing date.

I Concept Global Growth Fund and Liw Chai Yuk, respectively, took up about 33.8 per cent and 1.2 per cent of the rights shares with warrants that were available for subscription.

LifeBrandz said it raised net proceeds of close to S$5 million from the rights-cum-warrants issue.

Most of this will go into general working capital purposes and business expansion, while about 18.7 per cent will be used to repay existing and outstanding liabilities to external creditors.

Up to 1.03 billion rights shares were available at an issue price of 0.5 Singapore cent apiece, alongside up to 515.1 million warrants that each carried the right to subscribe for one new share at the exercise price of one cent per share.

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The issue was done on the basis of one rights share for every one existing share held, with one free detachable warrant for every two rights shares subscribed.

The company expects the rights shares to be listed on Catalist on June 24 before the warrants are listed the following day.

LifeBrandz shares closed flat at 0.6 Singapore cent on Friday, before the announcement.