Raffles Infrastructure Holdings, has, on June 30, entered into a subscription agreement with Integrated Health Ventures, where the latter will subscribe for 8 million new shares in the former at an issue price of 25 cents per new share.
Integrated Health Ventures is a Singapore-incorporated company that is in the business of turnkey diagnostic centre set-up, tele-enabling and digital storage of healthcare data across India, Africa and Southeast Asia.
It has one shareholder, Anand Thyagarajan, who is an Indian national and has over 23 years of experience in marketing, management, IP law and leadership.
As at June 30, Raffles Infrastructure Holdings has an issued and paid-up share capital of 67.95 million shares, which will increase to 75.95 million shares following the subscription.
The new shares represent around 11.77% of the existing issued and paid-up share capital of the company, and 10.53% of the enlarged share capital.
The issue price of 25 cents apiece represents no premium or discount to the volume weighted average price (VWAP) to the company’s shares that were last traded at 25 cents on June 29.
The subscription is seen as being beneficial to Raffles Infrastructure Holdings, in terms of opening up more opportunities and potentially provide more avenues of revenue for the company.
The estimated net proceeds from the subscription after professional fees and related expenses, are around $1.98 million.
The company intends to use 80% of the proceeds to establish a new revenue stream in the management and development of healthcare infrastructure in Asia, especially in India and Indonesia.
The remaining 20% will be used for working capital purposes.
Shares in Raffles Infrastructure closed 1 cent higher or 4% up at 26 cents on June 30.
