The Zhitong Finance App learned that China Investment Fund Company (00612) announced that on May 16, 2022, the company entered into a placement agreement with the placement agent. The company has conditionally agreed through the placement agent to place a total of 40 million shares to no less than six underwriters at a price of HK$3.05 per share according to the best of its ability, according to the best of its ability. The placement price was reduced by about 19.10% from the closing price of May 16 at HK$3.77 per share. The placement shares accounted for about 2.87% of the expanded issued share capital. As of 10:20, the increase was 8.75%, the price was HK$4.1, and the turnover was 10.2853 million.

The directors believe that the proposed placement is a good opportunity for the company to raise capital to strengthen its capital base (including working capital) and improve its financial position, which will enable the company to better invest in listed and unlisted securities. The directors also believe that the net proceeds from the placement will enable the Group to adjust its portfolio size more quickly and effectively to cope with and benefit from the rapidly changing investment environment.

The net proceeds from the placement are approximately HK$117.9 million. The company intends to use the net proceeds from the placement to invest in listed and unlisted securities and as working capital.