GD Express shareholders okay bonus, warrant issue

by **Cals** Wed 14 Jan 2015, 03:31

GD Express shareholders okay bonus, warrant issue

KUALA LUMPUR (Jan 13): GD Express Carrier Bhd ([You must be registered and logged in to see this image.] Financial Dashboard) shareholders have approved the logistics firm's bonus and warrants issues.
At GD Express' extraordinary general meeting (EGM) today, more than 75% of shareholders gave their consent to the bonus issue of up to 310.85 million new shares, on the basis of one bonus share for every three existing shares held.

GD Express also plans to issue up to 186.51 million free warrants on the basis of one warrant for every five existing shares owned.
After the bonus and warrant issues, the company will undertake its private placement of up to 10% of its issued share capital to raise up to RM227.12 million.
The placement proceeds will finance GD Express' expansion across the Association of Southeast Asian Nations (Asean) region.
After the EGM, GD Express managing director and group CEO Teong Teck Lean told reporters the company was eyeing Asean markets such as Thailand and Indonesia for expansion.
Teong said he believed GD Express' successful business model could be used in other Asean countries that share many similarities with Malaysia.
“We are looking closely at Thailand and Indonesia as our focus. One of the reasons is the Asean Economic Community (AEC) is bringing the community closer,” Teong said.
“A big portion of the fund raised through private placement is for our regional expansion, and some for capital requirement,” Teong said.
GDEx traded at RM2.14, up 1 sen, or 0.47% as at 12.30pm, gives it a market capitalisation of RM1.91 billion. The stock saw a volume of 176,000 shares.