BRIEF: Weimob raises $201 million through share placement at 8.9% discount

E-commerce services provider Weimob Inc. (2013.HK) announced on Thursday that it will raise HK$1.56 billion ($201 million) through a placement of 688 million shares to Infini Capital, representing 16% of its enlarged share capital. The placement price is set at HK$2.26 per share, representing an 8.9% discount to the stock’s previous closing price.

Weimob said about 30% of the proceeds will be used to explore AI integration and applications in its SaaS products, with another 30% for expanding media channels and strengthening its precision marketing services. Another 10% will go for overseas business development, and the remaining 30% will be used for working capital and general corporate purposes.

Upon completion, Infini Capital will hold 16% of Weimob’s stock, becoming the company’s single largest shareholder. The current major shareholder group formed by Yomi Sun, Jeff Fang and Alter You will see its combined stake diluted from 8.1% to 6.8%.

Weimob’s shares opened higher on Thursday and closed at HK$2.61 by the midday break, up 5.24%. The stock is down 20.7% year-to-date.

By Lee Shih Ta

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