Title: “Ever Glory United Holdings Announces Bonus Shares Offering – A Potential Boon for Investors”
Ever Glory United Holdings Limited (the “Company”) has announced a proposed bonus issue of up to 86,635,783 new ordinary shares in the capital of the Company (the “Bonus Shares”). The Bonus Shares will be issued on the basis of one (1) Bonus Share for every three (3) existing ordinary shares held by shareholders (the “Shareholders”) as of the record date to be determined by the Directors (the “Proposed Bonus Issue”).
Key Highlights:
Bonus Shares Represent 33.33% of Existing Issued Capital: The Bonus Shares will represent approximately 33.33% of the Company’s existing issued and paid-up share capital (excluding treasury shares and subsidiary holdings) as of the announcement date. 1
Bonus Shares Rank Pari Passu: The Bonus Shares, when allotted and issued, will rank pari passu in all respects with the existing ordinary shares in the capital of the Company, except that they will not be entitled to any dividends, rights, allotments, or other distributions with a record date before the issuance of the Bonus Shares. 1
Bonus Shares Excluded from Upcoming Dividend: Importantly, the Bonus Shares will not be entitled to the proposed tax-exempt (one-tier) final dividend of S$0.0025 per Share, which was announced by the Company on 28 February 2025 and is subject to Shareholder approval on 29 April 2025. 1
Compliance with Catalist Rules: The Company has confirmed that the theoretical ex-bonus price (“TEBP”) of the Shares will be above the minimum price of S$0.20 required by the Singapore Exchange Securities Trading Limited (SGX-ST) Listing Manual Section B: Rules of Catalist (the “Catalist Rules”). 3
Potential Impact on Convertible Bonds: If the record date for the Proposed Bonus Issue falls on or after the issue date of the Company’s recently announced S$5 million convertible bonds, the conversion price of the bonds will be adjusted from S$0.40 to S$0.30 per Conversion Share. This could result in the issuance of an additional 4,166,657 Shares upon full conversion of the bonds. 4
The Proposed Bonus Issue is subject to the approval of the SGX-ST for the listing and quotation of the Bonus Shares on Catalist. Shareholders and potential investors are advised to exercise caution when dealing or trading in the Shares and to consult their stockbrokers, bank managers, solicitors, or other professional advisers if they have any doubt about the actions they should take.
Disclaimer: This article is for informational purposes only and does not constitute any offer, solicitation, or recommendation to buy or sell any securities. The information provided is based on publicly available sources and should not be relied upon as the sole basis for any decision-making. Investors are advised to seek independent professional advice and conduct their own due diligence before making any investment decisions.
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