BlockBeats news, on August 7, according to The Block, shares of Hong Kong-listed financial services group DL Holdings fell more than 8% on Thursday after the company announced plans to raise HKD 653.3 million (approximately USD 83.2 million) through a rights issue to fund the development of its blockchain business.
According to documents submitted by the company to the Hong Kong Stock Exchange, DL Holdings has entered into a placement and subscription agreement, whereby the selling shareholders will sell shares to at least six buyers at a price of HKD 2.95 per share through a placement agent, and will then immediately repurchase an equivalent number of new shares from the company at the same price.
The shares being placed represent approximately 13.58% of the company's current issued share capital, and this proportion will decrease to approximately 11.96% upon completion of the new share issuance.
