Sheng Siong to release 120m new shares at $0.67 each

Proceeds will be used to acquire new outlets.

Mainboard-listed supermarket operator Sheng Siong Group today revealed that it is proposing the placement of up to 120,000,000 new shares at the issue price of $0.67 each.

The new shares will represent approximately 8.67% of the Company’s issued share capital of 1,383,537,000 shares as at the date of this Announcement, and approximately 7.98% of the enlarged issued share capital of 1,503,537,000 shares after the issuance and allotment of the new shares.

“The proceeds of the Placement will increase the Group’s capital base, and will provide the Group with funds for its future expansion plans in Singapore, which include the acquisition of properties for new retail outlets in areas which the Directors view as presenting viable business prospects and potential new markets in Singapore, in line with the Group’s strategy of selectively acquiring retail space in strategic locations. The Group believes that this strategy will complement the Group’s historical strategy of leasing new retail outlets, and positions the Group more favourably for growth,” noted Sheng Siong.