At 45 cents each, the issue price is a premium of around 24.4% to the volume weighted average price of 36.16 cents per share for trades done on May 26.
Upon completion of the subscription, Lim will have a stake of 16.7% in the company.
"The board believes that the proposed subscription will augment and strengthen the group’s financial position and provide flexibility to capitalise on growth opportunities," reads the company's announcement on May 29.
Fuji Offset Plates Manufacturing plans to use net proceeds of some $4.35 million to finance the expansion, growth, and development of the group's businesses and operations.
See also: UOL Group’s subsidiary prices $225 mil notes at 2.78% for institutional and accredited investors
This can be through capital expenditure, acquisition of strategic assets through mergers and acquisitions or by other similar
means.
On a pro forma basis, Lim's investment would lift the company's NTA as at Dec 31 2024 from 65.39 cents per share to 69.78 cents.
