Citic Pacific has raised $3.23 billion through a share placement to fund its acquisitions of mainland telecommunications assets from its parent.
Citic Beijing - majority shareholder of the company - yesterday placed 80 million existing shares at $40.38 each to investors, and subscribed to new shares at the same price and quantity.
The placement price is at a 4.9 per cent discount to yesterday's market close of $42.5, just before the placement took place.
The counter rose $1.60, or 3.9 per cent yesterday, on turnover of $439.39 million.
Placing agent BNP Prime Peregrine has an over-allotment option to place up to 20 million additional shares for Citic Pacific today.
The proceeds will finance its $2.98 billion acquisition of mainland telecoms assets from its parent, announced last month.
They include a 60 per cent stake in a 32,000-kilometre fibre-optic network owned by the People's Liberation Army, as well as a proposed purchase of a 50 per cent stake in Citic Guoan at $1.18 billion.
