Kosonic in share offer for listing

KOSONIC International Holdings is to seek a listing on the Hongkong stock exchange through an offer of 76 million new shares and 19 million existing shares for public subscription at $1 per share.

The shares represent 25 per cent of the enlarged share capital of the company.

One warrant will be issued for every five shares, giving holders the right to subscribe for new shares in the company at $1.15 before February 29, 1996.

The directors have also agreed to place another 19 million existing shares with 3.8 million warrants to Nomura/Jafco Investment (Asia) at $1 per share.

The placing represents five per cent of the enlarged share capital of the company.

The issue will raise net proceeds of about $68.4 million.

The directors have forecast a combined net profit of not less than $52 million for the year ending September 30 this year.

A total dividend of 53 cents per share for the period is forecast.

The issue price represents a multiple of 6.8 times the prospective earnings per share of $1.48 cents and capitalises the company at $380 million.