Reach Energy to undertakeRM206.51mil debt via issuance of 1.03 billion new shares

KUALA LUMPUR: Reach Energy Bhd (REB) has proposed to issue 1.03 billion new ordinary shares at an issue price of 20 sen per share to undertake a debt settlement exercise involving RM206.51 million owed to Super Racer Limited (SRL).

At the same time, SRL and Cheung Siu Fai, acting in concert with SRL, intend to seek an exemption from the Securities Commission Malaysia from the obligation to undertake a mandatory take-over offer for the remaining REB shares and the outstanding warrants issued by REB expiring on Aug 15, 2022 on completion of the proposed debt settlement.