Source: Securities Times.
Author: Hu Ke

In the afternoon of September 17th, Hong Kong stocks $WAI HUNG GROUP (03321.HK)$ resumed trading, and the stock price rose over 204% at one point, and closed with a 104% increase.

Before the market opened today, Wai Hung Group Holding announced a temporary trading halt, stating that it will issue an announcement regarding insider information.

Later, the company issued a clarification announcement to clarify the allocation matter mentioned in the previous day's announcement.

The announcement states that the issue price should be HKD 0.0204 per share of the issued shares, a discount of 18.4% compared to the closing market price of HKD 0.025 per share on the date of the agreement, and a discount of approximately 19.0% compared to the average closing market price of HKD 0.0252 per share on the last five consecutive trading days before the date of the agreement.

In the announcement on the 16th, Wai Hung Group Holdings stated that on September 16, 2024 (after the trading session), the company entered into a placement agreement with the placement agent. Accordingly, the company conditionally agreed to place a maximum of approximately 0.1 billion shares of issued shares to no less than six placees at an issue price of HKD 0.02 per share. Each of these placees and their ultimate beneficial owners is an independent third party.

According to the company's latest announcement, the total amount of funds raised from the placement is approximately HKD 2.06 million. The net amount of funds raised from the placement (after deducting commissions, professional fees, and other related costs and expenses generated by the placement) will be approximately HKD 2.03 million, and the net price per share of the placed shares will be approximately HKD 0.0201. The company intends to use the net proceeds from the placement for general working capital of the group.

Public information shows that the company is a contractor in Macau that provides decoration services as well as maintenance and repair services. The company's decoration services mainly cover renovation projects of existing buildings, extending to entertainment venues, retail areas, hotels, restaurants, commercial properties, and residential properties. The company focuses primarily on providing decoration services for the commercial segment of the market, particularly facilities within Macau integrated resorts. The company's latest announcement reveals that the company has been appointed as the general contractor by major licensed casino operators and owners in Macau.

Editor/rice