China Overseas seeks HK$2.5b in rights issue

China Overseas Land & Investment plans to raise HK$2.51 billion from selling rights shares to strengthen its financial position and net asset base. The mainland developer says shareholders are entitled to buy one rights share at HK$8 each for every 25 shares held. The offer price is a discount of 33.55 per cent to yesterday's closing price of HK$12.04. Its parent company will fully underwrite the deal.