Container terminal operator COSCO Pacific Ltd said on Friday it would sell HK$4.67 billion ($602 million) worth of new shares to a controlling shareholder, raising capital to fund acquisitions and for capital expenditure.
COSCO Pacific said it would sell 449 million new shares to a unit of its controlling shareholder China COSCO Holdings at HK$10.40 per share, representing a 9.9 percent discount to the previous close.
The shareholder will buy the new shares on completion of sales of the same amount of existing shares at the same price to third party investors.
COSCO Pacific said the capital raised would be used to fund its purchase of a 13.7 percent stake in Sigma Enterprises Ltd for $520 million. Sigma, through a joint venture, is involved in operations and management of Yantian Terminal Phase I, II, III and West Port of Yantian Terminal.
The proceeds will also be used for general corporate purposes, it said.
Danish shipping and oil group A.P. Moller-Maersk (MAERSKb.CO) agreed to sell a stake in Yantian container terminal in China to a unit of COSCO Pacific for $520 million.
COSCO Pacific said it would sell 449 million new shares to a unit of its controlling shareholder China COSCO Holdings at HK$10.40 per share, representing a 9.9 percent discount to the previous close.
The shareholder will buy the new shares on completion of sales of the same amount of existing shares at the same price to third party investors.
COSCO Pacific said the capital raised would be used to fund its purchase of a 13.7 percent stake in Sigma Enterprises Ltd for $520 million. Sigma, through a joint venture, is involved in operations and management of Yantian Terminal Phase I, II, III and West Port of Yantian Terminal.
The proceeds will also be used for general corporate purposes, it said.
Danish shipping and oil group A.P. Moller-Maersk (MAERSKb.CO) agreed to sell a stake in Yantian container terminal in China to a unit of COSCO Pacific for $520 million.