No Signboard terminates share placement deal

The No Signboard Seafood outlet located in Shanghai's K11 art mall. Credit: No SignboardThe No Signboard Seafood outlet located in Shanghai's K11 art mall. Credit: No Signboard

No Signboard Holdings has terminated its deal with investor Henry Chandra Tjiang for a proposed placement of 77.78 million new shares, which was intended to raise S$3.5 million for the iconic chilli crab restauranteur, according to a filing to SGX Tuesday.

“After due consideration by both parties and taking into account the current unfavourable market sentiments, the parties mutually decided to terminate the subscription agreement,” No Signboard said.

“The business environment for the food and beverage industry in the group’s key market of Singapore continues to be challenging since the onset of the Covid-19 pandemic in early 2020. This in turn led to the current share price of company falling significantly below the issue
price,” the company added.

The placement shares were priced at S$0.045 each, which was an around 13.9 percent premium to the volume weighted average price of S$0.0395 on 30 September. But on Tuesday, the shares closed at S$0.033.

Most of the proceeds had been earmarked for establishing a new chain of restaurants.

“The company will continue to explore other potential strategic investments and opportunities and/or alternative modes of capital fund-raising with a view to enhance the operations and growth of the company,” the filing said.

No Signboard said it wouldn’t incur any fees from the termination of the placement.

Henry Chandra Tjiang is an Indonesian private investor with business interests in Indonesia-based food manufacturing, the filing said.

 

 

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