Epicentre Asia raises cash for expansion
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Apple products retailer Epicentre Asia plans to raise S$11.45 million (US$8.44 million) by issuing 45.8 million private shares to new buyers.
KGI Fraser Securities is the placement agent for the issue, with the price being not be less than 25 cents per new share. These placement shares represent 49.1 per cent of the current
share capital of Epicentre.
Epicentre has five stores in Singapore, including two on Orchard Rd which could be expected to take a big hit in turnover terms when Singapore’s first Apple Store opens later this year. It has six stores in Malaysia and also sells online.
Half of the net proceeds raised by the share issue will be used to support business development and provide liquidity for expansion. The rest will be deployed for general working capital purposes, the company says.
Earlier this year, Epicentre raised $1 million on debt crowd-finance platform MoolahSense, and the company says this debt will be repaid through the sale of merchandise.
Questions & Answers
Q.How will Epicentre Asia utilise the net proceeds from the new share issue?
How will Epicentre Asia utilise the net proceeds from the new share issue?
Half of the net proceeds will be used to support business development and provide liquidity for expansion. The remaining funds will be deployed for general working capital purposes.
Q.How does Epicentre Asia plan to repay the $1 million debt raised earlier this year?
How does Epicentre Asia plan to repay the $1 million debt raised earlier this year?
The company states this debt, raised on debt crowd-finance platform MoolahSense earlier this year, will be repaid through the sale of merchandise.
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