Binasat proposes placement of up to 60.43 million shares to fund contracts
The group also plans to redirect funds following a cancelled hotel-suite acquisition, earmarking RM21.67 million of the refund for contracts.
Binasat Communications Bhd has proposed issuing up to 60.43 million shares through a private placement to help finance contracts, according to its exchange filing. The proposed issuance would represent no more than 10% of the group's total issued shares.
The group said it intends to allocate an estimated RM4.08 million from the proposed placement's gross proceeds towards existing contracts and future work. Another RM21.67 million would come from a refund linked to a cancelled acquisition.
Binasat also proposed changing how it uses proceeds from an earlier placement involving 128.14 million shares, completed in September 2025. The change would redirect money previously allocated to buying 241 fully furnished hotel suites from Cosmopolitan Avenue Sdn Bhd in Empire City, Damansara Perdana.
The acquisition was cancelled on Aug 12, allowing Binasat to receive RM32.19 million in refunds. That amount comprises RM29.19 million paid for the acquisition, plus RM3 million for costs and expenses.
Investors for the new placement have not been identified, and pricing will be set later. Binasat said the discount would be capped at 10% against the shares' five-day volume-weighted average market price immediately preceding the price-fixing date. It may carry out the placement in several tranches.
Binasat shares ended trading on Oct 13 at eight sen, up half a sen or 6.67%. Its market capitalisation stood at RM48.3 million.
