Singapore’s Blumont plans rights cum warrants issue

Visual from Blumont's website

Singapore based Blumont Group, which invests in diversified mineral and energy resources, said it is planning a rights cum warrants issue. It will raise about $27 million in net proceeds if the shares are fully subscribed.

Blumont said 70 per cent of the net proceeds will be used to make partial repayment to its creditor Wintercrest Facility, while the rest will be used for working capital purposes.

The company said it was planning a renounceable non-underwritten rights issue of up to 2.7 billion  new shares at an issue price of S$0.01  for each rights share, and the same number of detachable warrants with each warrant, carrying the right to subscribe to one new share at an exercise price of S$0.012

The issue price is on par with the volume weighted average price of one share traded on the SGX-ST on 17 March 2015, and is also at par with the theoretical ex-rights price of S$0.010.

Shareholders will be entitled to subscribe to one rights share with one free detachable warrant for every share they own.

If fully subscribed, Blumont’s issued share capital will double to 5.4 billion shares, and again, if all warrants are exercised, it will have an issued share capital of 8.1 billion shares.

In a related development, Blumont said that with regard to its January 2014 takeover bid for Genesis Resources Limited, it had received from the Singapore Exchange Securities Trading Limited an in-principal approval for the listing and quotation on the SGX-ST of up to 1,209,128,707 new shares.

This implies, at the close of the Genesis takeover bid planned for 23 March 2015, if all shareholders of Genesis Resources Limited accept its offer, then these additional new shares could be created in its share capital.

Also Read:

Singapore’s China Fishery to raise $296.5m via rights issue

Del Monte Pacific to raise $180m via rights issue

Singapore Reporter/s

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Following vacancies can be applied for (only in Singapore).   

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.