CHINA INFO TECH (08178) plans to conduct a 2-for-1 rights issue at a maximum net funding of around HK$9.73 million.

China Information Technology (08178) announced that the company proposes to issue a maximum of 57.3699 million shares for subscription to eligible shareholders at a subscription price of HK$0.18 per share based on a basis of 2 existing shares held for every 1 share subscribed. This is to raise a maximum of approximately HK$103.3 million before deducting expenses. The net proceeds from the rights issue are estimated to be approximately HK$97.3 million, of which the company intends to use around 90% to repay outstanding debts and around 10% to settle professional fees and other administrative expenses.