The company’s issued and paid-up share capital will be reduced by $87.1 million through the cancellation of $4.98 on each of the shares. This will take place on the effective date of the group’s proposed capital reorganisation.
Fuxing China Group says it intends to reduce the par value of its shares from $5 to 2 cents per share instead of 10 cents as announced previously.
According to a Sept 26 bourse filing, the group says this will provide Fuxing China “more flexibility to issue new shares in the future should fundraising opportunities or requirements arise and facilitate corporate actions which may require the issuance of new shares”.
