Austasia Group (02425) proposes a "5 shares for every 2 shares" rights issue.

AUSTASIA GROUP (02425) announced that the board of directors recommends to offer 2 shares for every 5 existing shares held as of the record date at a subscription price of 1.12 Hong Kong dollars per share. The company plans to issue up to 280 million shares under this rights issue, aiming to raise approximately 314 million Hong Kong dollars (before expenses). The rights issue is only offered to eligible shareholders and will not be offered to ineligible shareholders. Assuming that the total number of issued shares remains unchanged from the date of the announcement to the record date (including that day), and all the rights shares to be issued under the rights issue have been fully subscribed, the total amount raised through the rights issue is estimated to be around 314 million Hong Kong dollars, with an estimated net amount of approximately 309 million Hong Kong dollars (after deducting estimated professional fees and other related expenses of about 5 million Hong Kong dollars). The net price per rights share (after deducting estimated professional fees and other related expenses) is estimated to be around 1.10 Hong Kong dollars.