WING LEE DEV (09639.HK) places up to 100 million new shares at HK$0.97, a 9.77% discount
NewTimeSpace News: On 28 October, Wing Lee Development Construction Holdings Limited (WING LEE DEV, 09639.HK) announced that, after the trading session, it entered into a placing agreement with the placing agent to issue up to 100,000,000 new shares at HK$0.97 per share, with the agent to use its best efforts to procure subscriptions from not fewer than six independent third-party placees. Assuming no change in issued share capital, the placing shares represent 10.00% of the company's existing issued shares and about 9.09% of the enlarged issued share capital.
The placing price represents a discount of about 9.77% to the closing price of HK$1.075 per share on the date of the agreement and about 6.91% to the average closing price of HK$1.042 over the last five consecutive trading days. Assuming all placing shares are placed, gross and net proceeds would be about HK$97.00 million and HK$94.60 million respectively, or a net price of about HK$0.9460 per share, with placing commission at 2.00%. The shares will be issued under the general mandate granted at the annual general meeting on 18 September 2026 and do not require shareholders' approval.
The company intends to apply about 60% of the net proceeds (about HK$56.76 million) to developing and expanding its new energy business, including HK$18.92 million for battery energy storage systems, HK$28.38 million for integrated charging, battery-swapping and storage stations and HK$9.46 million for other renewable energy projects such as AI data centre energy infrastructure; and about 40% (about HK$37.84 million) as working capital for its construction and engineering business, including HK$18.92 million for project costs, HK$9.46 million for staff costs and administrative expenses and HK$9.46 million for debt repayment. The proceeds are expected to be used on or before 31 March 2027. Completion is conditional on, among others, the Stock Exchange approving the listing of and permission to deal in the placing shares by 17 November 2026.
