Chinese property developer Agile Group is slumping more than 18% in Hong Kong, after the company announced a top-up placement of 346 million shares, representing about 6.86% of its enlarged share capital.The offering price of HK$1.13 per share represents a discount of about 18.12% to the closing price of HK$1.38 on Monday.
The net proceeds are estimated to be about HK$387 million, which will be used for repayment of existing indebtedness and general corporate purposes, it said.
In addition, Agile had expected a possible turnaround from profit to loss for the six months ended 30 June this year and it’s also expecting to record a foreign exchange loss in the range between 800 million yuan – 1 billion yuan, mainly due to the continuous depreciation of the yuan during the period.
The company’s aggregated pre-sale value for the six months ended 30 June is 28.23 billion yuan, lower than 75.33 billion yuan and 39.45 billion yuan for the same periods in 2021 and 2022 respectively. Gross floor area sold for the six months reached 1.891 million square meters, compared to 4.848 million and 3.07 million square meters for the same periods in 2021 and 2022, it said.
