Boldtek plans private placement to raise S$4.4M to pursue projects with partners

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Boldtek Holdings plans to raise S$4.4 million via a private placement of 73.33 million new shares to be issued at S$0.06 each to seven investors, the building and property development company said in a filing to SGX Tuesday.

The issue price is a discount of around 9.37 percent from the volume-weighted average price (VWAP) of S$0.0662 a share for trades on 20 December, the filing said. The new shares will represent a 19.8 percent stake in the company’s enlarged share capital, the filing said.

“The group is undertaking the share placement to strengthen its financial and working capital position. The additional liquidity resources will enhance the group’s capabilities in bidding projects and enable the group to work with business partners like Neo Group, BUCG etc., to
pursue quality projects,” Boldtek said in the statement.

In August, Boldtek had entered a joint venture with Neo Group for property development, investment and management, with the first project, Zyanya, a residential project in Singapore’s District 14, launched earlier in December, the company noted.

Additionally, in October, Boldtek entered a non-binding memorandum of understanding (MOU) with Chinese engineering company Beijing Urban Construction Group (BUCG) to explore a collaboration on public and private infrastructure and construction projects in Singapore, the company said.

The placees

The new shares will be issued to the placees purely for investment purposes, the filing said. None of the placees held shares of Boldtek at the time of the placement’s announcement, the filing said.

“The placees have expressed keen interest to invest in the group in view of the group’s current business developments and future plans,” Boldtek said.

  • Levin Lee Keng Weng, an individual investor, subscribed for 15 million new shares, or a 4.05 percent stake in Boldtek’s enlarged share capital. Lee was identified by Allwell Investment, which will be paid an administrative fee for the service, Boldtek said.
  • AP21 Holdings subscribed for 10 million new shares, or a 2.70 percent stake in Boldtek’s enlarged share capital. AP21 Holdings, which is an investment holding company jointly owned by Han Jiak Siew and Phuay Yong Hen, was also identified by Allwell Investment, the filing said.
  • Ng Eng Tiong subscribed for 16.666 million new shares, or a 4.5 percent stake in Boldtek’s enlarged share capital. Ng Eng Tiong is an individual investor who was identified by Allwell Investment, the filing said.
  • Wu Yong Qiang subscribed for 16.666 million new shares, or a 4.5 percent stake in Boldtek’s enlarged share capital. Wu Yong Qiang is an individual investor who was identified by Allwell Investment, the filing said.
  • Ng Eng Seng subscribed for 4 million new shares, or a 1.08 percent stake in Boldtek’s enlarged share capital. Ng Eng Seng is an individual investor who was approached by Boldtek CEO Phau Lam Soon, the filing said.
  • Tan Eng Seng subscribed for 6 million new shares, or a 1.62 percent stake in Boldtek’s enlarged share capital. Tan Eng Seng is an individual investor who was approached by Boldtek CEO Phau Lam Soon, the filing said.
  • Wu JianSheng subscribed for 5 million new shares, or a 1.35 percent stake in Boldtek’s enlarged share capital. Wu JianSheng is an individual investor who was approached by Boldtek CEO Phau Lam Soon, the filing said.

The placement has a long-stop date of six months from the placement agreement, the filing said.