Kingkey Financial hits 8-month low on plans to issue convertible bond

Jakota Capital Holding

21/09/2023 04:34

** Shares of securities brokerage and asset management
service provider Kingkey Financial International (Holdings) Ltd
 1468.HK  drop as much as 18.6% to HK$0.92, their lowest since
Jan 18
    ** Stock marks biggest intraday pct decline since December
2019
    ** Co plans to issue HK$1 bln ($127.82 mln) worth of
convertible bonds to DC Universe Investment Ltd, raising capital
for repayment of liabilities, business development and for
working capital 
    ** The bonds are convertible into 797.45 mln new shares, or
9.5% of the enlarged share capital, at a conversion price of
HK$1.254 per share - Co 
    ** DC Universe is owned by Chu Kai, the founder of ZW Data
Action Technologies Inc  CNET.O 
    ** Hang Seng Composite Index tracking financials stocks
 .HSCIF  slips 0.6%, while Hang Seng Composite Index  .HSCI  and
Hang Seng Index  .HSI  both fall 1.3%
    ** Kingkey stock up 19.6% YTD
 

     ($1 = 7.8238 Hong Kong dollars)

 (Reporting by Donny Kwok)
 ((donny.kwok@thomsonreuters.com))