*FULL* Share Placements and Rights Issues

Hong Kong as an international financial hub has various ways for companies to raise capital after listing. Share placements and rights issues have continued to be popular this year for listed companies as a cost-effective means to raise funds. Deciding which method is most suitable for your company is important. This course will examine advantages and key success factors of these methods.

Detailed Information

Highlights of the course include:

  • Share Placements
    • Reasons and rationale for a share placement
    • Pricing and valuation issues
    • Placing of new shares and top-up transactions – mechanism
    • Corporate Governance aspects: can placing be abusive
    • Underwriting
    • Listing Rule implications: use of general mandate (if available)
    • Shareholders’ approval / Takeovers Code implications with placement to connected party
    • Documentation issues: underwriting agreement, placing agreement, press announcements, etc.
    • Consultation paper
    • Recent share placements: case studies – aspects to note
    • Recent developments
  • Rights Issues
    • Reasons and rationale for a rights issue
    • Difference between rights issues and open offers
    • Advantages & disadvantages of rights issues
    • Pricing and valuation issues
    • Structural issues
    • Timetable for rights issues
    • Listing Rule and Takeovers Code implications: whitewash required?
    • Dealing with overseas shareholders
    • Sweetener – bonus issue of warranties (listed vs. unlisted)
    • Documentation issues: underwriting agreement, press announcements, circular, prospectus, PAL, excess application form, etc.
    • Proposal to accelerate rights issues by HKEx
    • Recent rights issues / open offers: case studies
    • Recent developments

Registration Conditions

To view our registration conditions click HERE.