Vinda International Holdings Ltd. (03331.HK) has agreed to acquire its parent’s sanitary business in South Korea, Taiwan, Malaysia, Thailand, Indonesia and Singapore for HK$2.8 billion (US$361 million).
The deal will be paid for with HK$1.2 billion worth of new shares via a private placement, HK$502 million in convertible bonds and HK$1.09 billion in shareholder loans.
The conversion price for the convertible bonds and the issue price for the new shares are both HK$15.868, a 1.07 percent discount to Vinda’s last close.
The new shares in the private placement account for 7.06 percent of the enlarged share capital.
Meanwhile, the company is buying a production base and related assets in Guangdong province from a connected party for HK$976 million.
It will issue HK$55 million worth of new shares at HK$15.868 apiece take over the seller’s liabilities.
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