Reclaims Global Announces Successful Upsized Placement of S\$7.8 Million New Shares – Major Dilution and Catalist Listing Set to Impact Share Value

Key Highlights

• Successful Upsized Private Placement: Reclaims Global Ltd. has completed the placement of 20,000,000 new ordinary shares at S\$0.39 per share, raising a total of S\$7.8 million in gross proceeds.
• Significant Share Capital Dilution: The issuance increases the company’s total outstanding shares from 131,000,000 to 151,000,000, representing an approximate 13.2% dilution for existing shareholders.
• Catalist Listing Approval: The new shares will be listed and quoted on the Catalist board of the Singapore Exchange (SGX-ST) from 9:00 a.m. on or around 28 October 2025.
• Placement Conducted Through SAC Capital: SAC Capital Private Limited acted as the placement agent and sponsor for the transaction.
• Dividend Entitlement Clarification: The new shares will not be eligible for any dividends or distributions declared before the completion date.

In-Depth Details for Investors

Reclaims Global Ltd., a Singapore-incorporated company, has officially announced the successful completion of an upsized share placement exercise. The company initially planned to issue 15,384,700 new shares but later increased the offer to 20,000,000 shares through an amended agreement with SAC Capital Private Limited, the appointed placement agent.

The placement was priced at S\$0.39 per share, which aligns with the company’s recent trading range and reflects prevailing market conditions. This move brings in a total of S\$7.8 million in fresh capital, which is expected to support the company’s growth initiatives, strengthen its balance sheet, or provide funding flexibility for future projects. However, the announcement does not specify the exact use of proceeds, which investors may want to seek clarity on in upcoming disclosures.

With the issuance of 20,000,000 new shares, Reclaims Global’s total outstanding ordinary shares have increased from 131,000,000 to 151,000,000, a substantial expansion. This new share issuance represents approximately 13.2% of the enlarged share capital and is likely to have a material dilutive effect on existing shareholders’ ownership and earnings per share.

The freshly issued shares are free from all encumbrances and rank equally with existing shares in every respect, except that they are not entitled to dividends, rights, allotments, or other distributions where the record date falls before the completion date. This means early investors of the placement will not benefit from any upcoming declared dividend if the record date precedes the official completion.

Importantly, the company has received the necessary listing and quotation notice from the SGX-ST, and the 20,000,000 new shares are scheduled to start trading on the Catalist at 9:00 a.m. on or around 28 October 2025. This additional liquidity and capital market exposure could be a catalyst for further investor interest or volatility in the company’s shares.

The announcement was reviewed by the company’s sponsor, SAC Capital Private Limited, but has not been reviewed or approved by the SGX-ST, which assumes no responsibility for its content.

What Investors Should Watch

• Potential Share Price Impact: The significant dilution from the 13.2% increase in share capital could pressure the stock price in the short term, especially if the placement price is below the prevailing market price or if the market perceives overhang risk from new shares.
• Use of Proceeds: The company has not detailed how it will deploy the S\$7.8 million raised. Investors should look for further announcements clarifying the intended use, which could affect sentiment and share valuation.
• Dividend Policy: Since the new shares are not entitled to any dividends declared before completion, investors should monitor if any dividends or distributions are imminent that could impact existing shareholders’ value.
• Catalist Listing Effect: The listing of new shares may improve liquidity, but also potentially introduces short-term volatility as new shareholders may trade their positions.

Conclusion

The upsized placement is a pivotal event for Reclaims Global Ltd., providing fresh capital and increasing trading liquidity, but also leading to a meaningful dilution for current shareholders. The market’s reaction will likely depend on further updates regarding the deployment of funds and overall strategic direction post-placement.

Disclaimer: This article is for informational purposes only and does not constitute investment advice or a recommendation to buy or sell any securities. Investors should conduct their own due diligence or consult a financial advisor before making investment decisions. The author and publisher are not responsible for any losses arising from reliance on this information. All information is current as of the date of publication and subject to change without notice.

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