China Logistics Property to raise HK$767m in share placement

China Logistics Property (1589) announced it will raise about HK$767 million by placing 220 million new shares.

The shares slid by 21.48 percent to HK$3.40 as of 3:20 pm.

The placing shares represent about 6.76 percent of the issued share capital and about 6.33 percent of the company’s issued share capital as enlarged by the issue of the placing shares, the company said in an exchange filing.

It plans to use the net proceeds for investments and acquisitions of land, particularly in the Guangdong-Hong Kong-Macao Greater Bay Area, Yangtze River Delta economic zone, the Bohai economic zone, and the Pearl River Delta economic zone, followed by the construction and development of warehousing facilities, as well as general working capital.

China Logistics Property is an investment holding company, mainly involved in the manufacture and sales of premium logistics facilities.