King Wan Corporation Limited Completes Placement of 70 Million Shares, Raising S\$3.5 Million

King Wan Corporation Limited has officially completed a significant share placement exercise, resulting in the allotment and issuance of 70,000,000 new ordinary shares at S\$0.05 per share to raise an aggregate consideration of S\$3,500,000. This development marks a notable increase in the company’s capital base and could have implications for both existing and prospective shareholders.

Key Highlights from the Announcement

• Placement Details: The company placed 70,000,000 new ordinary shares at S\$0.05 each, raising a total of S\$3,500,000.
• Regulatory Approval: The placement was completed after receiving approval in-principle from the Singapore Exchange Securities Trading Limited (SGX-ST) for the listing and quotation of the new shares.
• Increase in Share Capital: The total issued and paid-up share capital of King Wan Corporation Limited increased from 698,353,740 shares to 768,353,740 shares (excluding treasury shares and subsidiary holdings). This represents a substantial 10% dilution for existing shareholders.
• Listing Date: The newly issued shares are expected to be listed and quoted on the Mainboard of the SGX-ST on or around 14 January 2026. Trading for these shares is set to commence at 9:00 a.m. on the same day.
• Share Entitlements: The new placement shares are issued free from any legal, equitable, or security interests and other encumbrances. However, they are not entitled to any dividends, rights, or other entitlements if the record date falls on or before the completion date.

Matters for Shareholders’ Attention

• Dilution of Existing Shareholdings: Existing shareholders should note that this placement increases the company’s share capital by approximately 10%, potentially diluting their ownership and voting power.
• Potential Impact on Share Price: The influx of new shares could influence the market price of King Wan Corporation Limited’s shares, as the expanded capital base may affect earnings per share (EPS) and other key financial metrics.
• Dividend Entitlements: The placement shares are not entitled to any dividends, rights, or other entitlements if the record date for such falls on or before the completion date. Investors should be aware of this when assessing the value of the new shares.
• Directors’ Assurance: The board has collectively and individually accepted full responsibility for the accuracy and completeness of the information disclosed in this announcement. They have confirmed that there are no facts omitted that would make any statement misleading.
• Caution for Investors: Shareholders and investors are advised to exercise caution when trading in the company’s shares in light of this development. If in doubt, they should consult their stockbrokers or professional advisers.

Conclusion

The successful completion of this share placement strengthens King Wan Corporation Limited’s capital position and could provide the company with greater financial flexibility for future growth or operational needs. However, shareholders should closely monitor subsequent disclosures and market reactions, as the dilution effect and potential changes in financial ratios may influence share value in the near term.

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 research and consult with professional advisers before making any investment decisions. The author and publisher accept no liability for any losses arising from reliance on the information provided.

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