China Energy Development Raises HK$236.7 Million in Oversubscribed Rights Issue, Triggers Mandatory Offer

China Energy Development Holdings Limited ( (HK:0228) ) has shared an announcement.

China Energy Development Holdings Limited has completed a non-underwritten rights issue of one rights share for every two adjusted shares, offering 152,066,800 rights shares in total. The issue was slightly oversubscribed, with valid applications for 153,249,935 rights shares, including significant excess applications that were allocated on a fair, largely pro-rata basis to qualifying shareholders. As a result of the excess applications, Alpha Eagle Limited has triggered an obligation under Hong Kong’s Takeovers Code to make a mandatory unconditional offer for the company. The rights issue raised approximately HK$236.7 million in net proceeds, which the company plans to use as additional capital reserves to support its natural gas exploration, production and distribution business in the PRC, potentially strengthening its balance sheet and capacity to pursue new energy projects.

The most recent analyst rating on (HK:0228) stock is a Hold with a HK$1.50 price target. To see the full list of analyst forecasts on China Energy Development Holdings Limited stock, see the HK:0228 Stock Forecast page.

More about China Energy Development Holdings Limited

China Energy Development Holdings Limited, incorporated in the Cayman Islands and listed in Hong Kong, focuses on exploration, production and distribution of natural gas in the People’s Republic of China, aiming to capture growth opportunities in the domestic energy market.

Average Trading Volume: 267,990

Technical Sentiment Signal: Sell

Current Market Cap: HK$438M

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