SHUN Tak Holdings is raising $941 million net from a placement and subscription of shares to pay for the redevelopment of the Lai Chi Kok shipyard in Cheung Sha Wan.
The placing, fully underwritten by SG Warburg Securities (Far East) involves 90 million shares of 25 cents each at $9.40 each, a 2.59 per cent discount to the $9.65 close yesterday.
The existing shares are being sold by Shun Tak Shipping, the controlling shareholder, and represent 7.1 per cent of the existing issued share capital of the listed group.
Shun Tak Shipping is made up of principle shareholders Stanley Ho, the chairman of the company, Cheng Yu-tung and Winnie Ho Yuen-ki.
Shun Tak shipping is subscribing to 100 million shares of 25 cents at $9.21 each.
The company statement said this was based on the price per share of the placed shares, net expenses of the placing, estimated to amount to about $18.9 million.
Shun Tak Shipping at present has 51.4 per cent of the listed company. After the placement and subscription Sun Tak Shipping will hold 48.4 per cent of the enlarged share capital of the group.
