At the same time but separate from the placement, an individual Teo Kee Bock, along with Huan Yong Group have each entered into a cornerstone subscription agreement with YKGI to subscribe for such number of new ordinary shares in the company to be determined by dividing their commitments of $2.0 million and $1.25 million respectively by the placement price. Accordingly, Teo and Huan Yong Group will be issued an aggregate of 16.25 million cornerstone shares.
Teo is the founder of the Super Group and Apricot Capital. Huan Yong Group is an investment holding vehicle of the Te family, whose patriarch, Mr. Ronald Te Kok Chiew, was a co-founder of Super Group together with Teo.
Based on the Placement Price of 20 cents per share and the group’s share capital immediately post-IPO, the market capitalisation of YKGI is expected to be approximately $85.0 million. The group expects to raise gross proceeds of about $16.55 million from the placement, to be used mainly for business expansion, including opening new outlets in Singapore and overseas, expanding into more market segments, strengthening supply chain capabilities, expanding franchising and sub-franchising operations and undertaking strategic acquisitions and joint venture partnerships.
The placement will close at 12.00pm on Wednesday (Feb 1). Listing and trading of YKGI’s shares are expected to commence at 9.00am on Monday (Feb 6). RHT Capital is the issue manager and full sponsor for the IPO. Evolve Capital Advisory and KGI Securities are the joint placement agents.
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Photo: Albert Chua/ The Edge Singapore
