WT GROUP (08422) intends to conduct a rights issue based on a ratio of one share for every two existing shares. The net proceeds are expected to be approximately HK$22.5 million.

WT Group (08422) announced that the board of directors recommends issuing 2.40 billion rights shares at a subscription price of HK$0.10 per rights share on the basis of every 1 share held on the record date entitling the holder to subscribe for 2 rights shares. The company aims to raise up to HK$24 million through this rights issue (assuming no further issuance of new shares or buyback of shares before the record date). If fully subscribed, the estimated net proceeds would be around HK$22.5 million. The company plans to use the net proceeds from the rights issue for preliminary costs of group projects, operational capital needs at different stages, as well as general operational expenses of the group. There is no minimum subscription requirement or capital raising threshold for the rights issue.