ASL Marine Completes Placement
ASL Marine Holdings, an integrated marine company offering comprehensive services in shipbuilding, ship-repair and ship-chartering; and owning shipyards in Singapore, Batam (Indonesia) and Guangdong (China), has entered into a placement agreement with Kim Eng Securities Pte. Ltd. ("KES") to place out 30,000,000 new ordinary shares at $0.68 per share in response to demand from sophisticated investors and institutions.
The Placement Shares when issued and fully paid will rank pari passu (equal) in all respects with the existing ordinary shares of the Company. This Placement will increase the existing issued and paid-up ordinary share capital of the Company by approximately 13.74%, from $21,828,000 comprising of 218,280,000 ordinary shares to $24,828,000 comprising 248,280,000 ordinary shares. Similarly, the net tangible assets per share of the Group as of June 30, 2005 will be adjusted from 35.95 cents to 39.56 cents after the Placement.
After deducting estimated expenses of $0.65 million, the net proceeds from the Placement are estimated to stand at $19.75 million. Out of this balance, about $6.0 million will be used to fund expansion in the Group's various shipyards while another $8.0 million will be used for the purchase of new vessels. The rest of the proceeds will be reserved for working capital purposes.
In response to the Placement, Mr Ang Kok Tian, Executive Chairman and Managing
Director of ASL Marine said, " We are glad that investors are showing confidence in ASL
Marine by subscribing to our Placement shares. The proceeds from the Placement will
enable us to accelerate our expansion plans. With our strong Shipbuilding orderbook and
enhanced Shipyard capabilities, we are confident of record earnings in FY2006."
- ASL Marine Accepts Cancellation of 2 Newbuild OSV Contracts (Dec 08)
- ASL Shipyard Secures $73M Deals to Build Infield, Seismic Support Vessels (May 30)
- ASL Marine Incorporates a Shipbuilding, Shiprepair Subsidiary in Indonesia (Jan 27)