Gelonghui, April 19, 丨 Weimeng Group (02013.HK) issued an announcement regarding the repurchase of existing convertible bonds with a maximum surviving principal amount of US$20121.7 million (“remaining convertible bonds”). On April 18, 2024, the issuer (Weimob Investment Limited, a wholly-owned subsidiary of the company) and the company signed a transaction manager agreement with the transaction manager. Based on this, the transaction manager has been appointed to propose to repurchase the remaining convertible bonds to (among others) assist the issuer and collect the company's remaining convertible bond holders' intentions The intention of the issuer and company to sell their remaining convertible bonds.
As of the date of this announcement, the Company has received through the transaction manager a commitment from eligible bondholders to sell the remaining convertible bonds with a total principal amount of approximately US$1828.3 million to the Company. The remaining outstanding convertible bonds were purchased without tender of approximately $18.39 million. The Company may continue to purchase remaining convertible bonds from time to time on the open market or by other means in accordance with the terms and conditions of existing convertible bonds.
On April 18, 2024, the company and the exclusive placement agent (i.e. Merrill Lynch (Asia Pacific) Limited) entered into a placement agreement. According to this, the exclusive placement agent agreed to act as the company's exclusive placement agent to induce certain undertakers to subscribe 277 million new shares at the placement price of HK$1.13 per share on a best-effort basis. Placed shares will be placed by an exclusive placement agent to no less than six professional investors.
The number of shares placed is equivalent to approximately 9.9% of the existing issued share capital and approximately 9.0% of the issued share capital after the expanded placement. The total proceeds from the placement will be approximately HK$313 million. The net proceeds from the placement will be approximately HK$308 million. The company intends to use the net proceeds collected by the company to refinance existing debts.