SINGAPORE: Singapore mainboard-listed Yellow Pages plans to raise some S$59 million through a rights-cum-warrants issue.
Under the deal, Yellow Pages will offer existing shareholders five rights shares and two warrants for every two shares that they hold.
Each rights share is priced at 15 cents each or at a 62 per cent discount to Tuesday’s closing price of 39.5 cents. The warrants will be issued free with the rights shares.
All in, Yellow Pages is offering more than 395,162,500 rights shares with 158,065,000 warrants.
Each warrant carries the right to subscribe to one new share at the exercise price of 17.5 cents each.
Yellow Pages is undertaking the rights-cum-warrants issue to raise funds to repay bonds amounting to S$130 million.
The company believes that this move will increase its capital base and strengthen its balance sheet.
If the issue is fully subscribed, and all the warrants exercised, Yellow Pages said it will raise a further S$27.7 million.
Yellow Pages is the largest publisher of directories and provider of classified directory advertising and associated products & services in Singapore. - CNA/vm
.
