KUALA LUMPUR, 14 JULY: After launching a cash call to raise up to RM102.62 million to fund its renewable energy projects, G Capital Bhd (previously known as Gunung Capital Bhd) plummeted as high as 7.5 sen or 10% to 67.5 sen this morning. The counter had pared some losses to 68 sen at the time of writing, but it was still down seven sen or 9.33 percent. A total of 1.38 million shares were exchanged.
The group proposed a renounceable rights issue of redeemable convertible unsecured loan stocks (RCULS) yesterday in order to raise up to RM102.62 million to help fund its 52.6MW renewable energy projects.
The proposal called for the issue of 1.28 billion five-year, 5% RCULS at 100% of their nominal value of eight sen apiece, based on four RCULS for each existing share.
The RCULS conversion price was set at 90 sen, which is 17.2 percent more than the group’s five-day volume weighted average market price of 76.79 sen.
According to G Capital, a large amount of the funds raised will be used to speed up the construction of its renewable energy projects, which include solar photovoltaic energy generating systems and mini-hydropower plants./n
