KWAN ON Holdings (01559) plans to issue new shares at a discount of approximately 17.65% based on a "2 for 1" basis, raising a net amount of approximately HK$63.62 million.

KWAN ON HLDGS (01559) announced that the company proposes to issue a maximum of approximately 934.6 million rights shares on a "2 for 1" basis, with each rights share priced at HK$0.07, representing a discount of approximately 17.65% to the closing market price of HK$0.0850 per share on the last trading day on the Stock Exchange of Hong Kong. After deducting relevant expenses, the net proceeds from the rights issue are estimated to be up to approximately HK$63.62 million, with approximately 70.7% to be used for repaying the group's debt; approximately 15.7% for developing the group's existing businesses (including operating capital for new construction projects, such as feasibility study costs, expenses for obtaining professional services, and payments for in-depth local knowledge and experience to assist the group in project development), and the remaining approximately 13.6% for general working capital.