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CDC Corp. issues convertible bonds to 12 institutional investors |
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Written by Administrator
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Monday, 13 November 2006 |
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HONG KONG, Nov. 13 (InfoChina) – CDC Corporation (Nasdaq: CHINA) announced on Nov.12 that it has signed agreements with 12 qualified institutional investors on a combined private placement of 1.307 billion HK dollars (about 168 million US dollars) for business expansion and acquisitions.
CDC Corp. promises to conversion of the bonds to common shares of CDC Software or CDC Games, if any of the two subsidiaries of CDC Corp. could launch an IPO in the coming two years from the date of issuance. Otherwise, the bonds can be converted to common shares of CDC Corp at a price of 10.37 US dollars each share. The bonds will mature by 2011 with an annual coupon of 3.75 percent. The raised money will be used by its two subsidiaries CDC Software and CDC Games for acquisition, software and network R&D, etc. Earlier, on Nov. 10, China.com Inc. (HK: 8006), a 77 percent owned subsidiary of CDC Corp, released its 3Q financial report, posting a total revenue of 132 million HK dollars, up 22% year on year, and a gross profit of 82 million HK dollars, representing a year on year growth of 33%. |
China Stock News