KING INTL INV (00928.HK) terminates rights issue after two substantial shareholders breach irrevocable undertakings

NewTimeSpace News: On 28 October, King International Investment Limited (KING INTL INV, 00928.HK) announced that two substantial shareholders, Mr Wang Mengyao and Ms Wei Yan, each failed to validly apply for any rights shares before the latest time for acceptance, breaching the irrevocable and unconditional undertakings they had given. Under the prospectus, they had undertaken to subscribe for 103,476,816 and 89,250,522 rights shares respectively, being their respective entitlements under the rights issue.

The board said that, having considered that the breach of the irrevocable undertakings had a material and adverse impact on the structure of the rights issue, and that without the irrevocable undertakings the group might be unable to obtain the minimum gross proceeds of approximately HK$96.4 million, it was of the view that proceeding with the rights issue under the existing circumstances would not be in the best interests of the company and its shareholders as a whole, and resolved on 28 October to terminate the rights issue with immediate effect.

Accordingly, the rights issue will not proceed, and the placing and compensation arrangements will not proceed either; no untaken rights shares or unsold shares of ineligible shareholders will be placed, no rights shares will be allotted or issued, and the issued share capital will remain unchanged. All subscription monies received for valid applications and acceptances under the provisional allotment letters will be refunded without interest, with refund cheques expected to be posted by ordinary mail on or before 18 November 2026 to the entitled applicants.