i-Cable Communications (1097) announced a right issue of 3.35 billion shares to raise HK$704 million, on the basis of five right shares for every three existing shares at 21 HK cents.
The offering price represented a 66 percent discount to the closing price before its suspension of trading. Forever Top (Asia) Ltd is the underwriter of the offer, which probably will own 62.5 percent of issued share at most if no shareholders take up the shares. Wharf will convert its debts of i-Cable, worth HK$300 million, into stakes.
The company has also applied to extend the deadline for accepting renewal of its pay-TV license to May 31.
It proposed enlarging the minimum board lot size to 10,000 shares from 1,000 shares.