BRIEF: Shoucheng plans $77 million share placement

Smart infrastructure asset management services provider Shoucheng Holdings Ltd. (0697.HK), said on Thursday it will sell 276 million new shares for HK$2.17 apiece in a top-up placement. The transaction represents 3.37% of its enlarged share capital and will raise HK$600 million ($76.9 million).

The placement price represents a 5.65% discount to Wednesday’s closing price of HK$2.30 per share, though it’s 5.65% higher than the five-day average closing price of HK$2.05.

The company plans to use HK$418 million to fund about 20 recently launched tech experience stores and for investment in new ventures in the field of asset operations. Most of the remainder will be used for general working capital.

Shares of Shoucheng opened down 0.4% at HK$2.29 on Thursday. The stock has doubled since the beginning of this year.

By Lau Chi Hang

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