China United to raise HK$170 mln by issuing new shares and convertible notes

China United (0273) announced to raise HK$169.6 mln by placement and convertible notes for acquisition of HMI (Hennabun Management Inc.) and weighing down debts.

 China United will raise HK$65mln by placing 6500mln new shares to four independent third parties at HK$0.01 each. The four independent third parties are Gem Holdings, Hui Kai Securities, Nation Cheer Investment and Dom.com. The shares accounted for 43.92% of issued share capital and 30.52% of enlarged ones. After placement holding volume of Radford, leading shareholder of the company will be decreased to 22.57% from 32.48% and Gem Holding will be another major shareholder with 16.43% stake.

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