PACE Development Corporation Public Company Limited (PACE) has announced that the Board of Directors will propose the Shareholders’ Annual General Meeting to consider and approve the increase in the registered capital from the existing registered capital of THB 14,498,911,043, to THB 26,783,432,556, by issuing 12,284,521,513 newly-issued ordinary shares, at the par value of ฿1.00/share, totaling THB 12,284,521,513.
The first allocation will be allocated to existing shareholders of PACE (Rights Offering) not exceeding 8,025,793,914 shares at the ratio of 3 existing ordinary shares to 2 new ordinary shares at the price of ฿0.25/share.
The newly-issued ordinary shares not exceeding 4,012,896,957 shares will be allocated to accommodate the exercise of the warrants to purchase the ordinary shares of PACE No. 3 (PACEW3 Warrants) at the ratio of 2 newly issued ordinary shares to 1 unit of warrant. The subscription date will be on June 3-7, 2019.
Third, the allocation of not exceeding 245,830,642 shares will be allocated to accommodate the right adjustment of the warrants to purchase the ordinary shares of PACE No. 2 (PACEW2 Warrants).
In addition, in the case where the newly-issued ordinary shares issued and offered for sale to the existing shareholders proportionate to their respective shareholdings (Rights Offering) are fully subscribed, PACE would be able to obtain the proceeds of not less than THB 2,006 million to repay short-term and long-term loans and bonds which are the repayment of debt within the period agreed with the lenders or bondholders. The approximate amount of
repayment to the lender is THB 1,000 million (exclude interest and other relevant expenses), the remaining shall be used as the development cost for the real estate projects of PACE including to be used as working capital of PACE in the future.
In the morning session on March 12, 2019, PACE plunged as much as 29% to ฿0.22/share. At 11:30 local time, the share price down ฿0.06/share or 19.3% to ฿0.25/share with ฿9.80 million ub value.