Viking Offshore and Marine is seeking to raise gross proceeds of $880,000 through the private placement of 10,987,143 new shares in a bid to raise funds and strengthen its financial and working capital position.
The company had, on Jan 18, entered into a placement agreement with Xiang Xiping to place the shares at an issue price of 8.01 cents apiece.
The issue price represents a discount of 8.58% to the volume weighted average price of 8.762 cents per share based on trades done on Jan 17.
Xiang is a Chinese entrepreneur with over 10 years of experience in the wellness industry and was introduced to the company by one of its executive directors, Ong Swee Sin. She has not participated in any previous share placement conducted by the company.
She had previously “expressed keen interest” to invest in the company in view of its current business developments and future plans, says Viking Offshore and Marine via an SGX filing in the late hours of Jan 18.
Upon completion of the placement, Xiang will hold around 1.96% of the enlarged issued share capital. Viking Offshore and Marine will receive net proceeds of $845,000 after the deduction of fees.
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Shares in Viking Offshore and Marine closed at 8.9 cents on Jan 18.
