(i) Proposed Bonus Issue Of Up To 31,204,514 New Ordinary Shares Of Rm1.00 Each On The Basis Of One (1) New Ordinary Share For Every Four (4) Existing Ordinary Shares Held In Reliance Pacific Berhad ("RPB") On An Entitlement Date To Be Determined ("Proposed Bonus Issue"); And (ii) Proposed Rights Issue Of Up To 62,409,028 New Ordinary Shares Of Rm1.00 Each Together With Up To 31,204,514 Free Detachable Warrants At A Proposed Issue Price Of Rm1.00 Per Share On The Basis of Two (2) New ordinary Shares With One (1) Free Detachable Warrant For Every Four (4) Existing Ordinary Shares Held In RPB On An Entitlement Date To Be Determined ("Proposed Rights Issue Of Shares With Warrants") (Collectively, The "Proposals")
BackDec 03, 1999
| General Announcement Reference No MM-991201-42550 |
| Submitting Merchant Bank | : | ARAB-MALAYSIAN MERCHANT BANK BERHAD |
| Company Name | : | RELIANCE PACIFIC BERHAD |
| Stock Name | : | RPB |
| Date Announced | : | 03/12/1999 |
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| Type | : | Announcement |
| Subject | : | (I) PROPOSED BONUS ISSUE OF UP TO 31,204,514 NEW ORDINARY SHARES OF RM1.00 EACH ON THE BASIS OF ONE (1) NEW ORDINARY SHARE FOR EVERY FOUR (4) EXISTING ORDINARY SHARES HELD IN RELIANCE PACIFIC BERHAD ("RPB") ON AN ENTITLEMENT DATE TO BE DETERMINED ("PROPOSED BONUS ISSUE"); AND (II) PROPOSED RIGHTS ISSUE OF UP TO 62,409,028 NEW ORDINARY SHARES OF RM1.00 EACH TOGETHER WITH UP TO 31,204,514 FREE DETACHABLE WARRANTS AT A PROPOSED ISSUE PRICE OF RM1.00 PER SHARE ON THE BASIS OF TWO (2) NEW ORDINARY SHARES WITH ONE (1) FREE DETACHABLE WARRANT FOR EVERY FOUR (4) EXISTING ORDINARY SHARES HELD IN RPB ON AN ENTITLEMENT DATE TO BE DETERMINED ("PROPOSED RIGHTS ISSUE OF SHARES WITH WARRANTS") (COLLECTIVELY, THE "PROPOSALS") |
Contents :
1. INTRODUCTION
Further to our announcement dated 30 August 1999, Arab-Malaysian Merchant Bank Berhad ("Arab-Malaysian"), on behalf of the Company is pleased to announce that the Securities Commission ("SC"), vide its letter dated 25 November 1999, has approved the Proposals as proposed without any revision.
The approval of the Ministry of Finance for an exemption under Section 365 of the Companies Act, 1965 in relation to the Proposed Bonus Issue has also been obtained on 15 November 1999.
Save for the approvals to be obtained from the shareholders of RPB at an extraordinary general meeting to be convened as well as the Kuala Lumpur Stock Exchange for the listing and quotation of the new ordinary shares of RM1.00 each and Warrants to be issued pursuant to the Proposals, all other approvals for the Proposals have been obtained.
The approval of the Ministry of Finance for an exemption under Section 365 of the Companies Act, 1965 in relation to the Proposed Bonus Issue has also been obtained on 15 November 1999.
Save for the approvals to be obtained from the shareholders of RPB at an extraordinary general meeting to be convened as well as the Kuala Lumpur Stock Exchange for the listing and quotation of the new ordinary shares of RM1.00 each and Warrants to be issued pursuant to the Proposals, all other approvals for the Proposals have been obtained.
2. CONDITIONS OF THE SC APPROVAL
The proceeds to be raised from the Proposed Rights Issues of Shares with Warrants will be utilised in the manner as originally proposed as below.
Assuming that none of the existing Warrants are exercised before the Entitlement Date, the Proposed Rights Issue of Shares with Warrants is expected to raise about RM49.06 million to be utilised in the following manner.
In the event that any of the outstanding Warrants are exercised prior to the Entitlement Date, the additional proceeds arising from the Proposed Rights Issue of Shares with Warrants will be utilised as working capital of the RPB Group.
3. EXTRAORDINARY GENERAL MEETINGAssuming that none of the existing Warrants are exercised before the Entitlement Date, the Proposed Rights Issue of Shares with Warrants is expected to raise about RM49.06 million to be utilised in the following manner.
|
RM
|
| (a) To redeem the outstanding bonds of RPB |
45,000,000
|
| (b) To meet the working capital requirement of the RPB Group |
2,560,100
|
| (c) Estimated expenses for the Proposals |
1,500,000
|
|
49,060,100
|
A circular containing details of the Proposals together with a notice of extraordinary general meeting will be despatched to the shareholders in due course.
This announcement is dated 3 December 1999.
Bursa Announcement
