Lay Hong to reduce share placement to 15%

In a filing with Bursa Malaysia yesterday, Lay Hong said the proposed private placement entailed the issuance of up to 7.62 million placement shares, representing up to about 15% of the existing issued and paid-up share capital of RM50.83mil as at March 23. Lay Hong expects to raise gross proceeds of up to RM23.1mil based on the issue price of RM3.03 per placement share. - IZZRAFIQ ALIAS / The Star (Filepic of some products)

PETALING JAYA: Poultry player Lay Hong Bhd has said it will reduce by half the number of shares it intends to place out to new investors, from 30% of its outstanding shares to just 15%, following “feedback” from shareholders.

QL Resources Bhd, which owns 38.9% of Lay Hong, had said in February that the original proposal was a “raw deal” for shareholders. Lay Hong said the new shares will increase its public shareholding spread.