KUALA LUMPUR (Oct 13): Binasat Communications Bhd (KL:BINACOM) has proposed to undertake a private placement of up to 60.43 million shares, representing not more than 10% of its total issued shares, to raise money for existing and future contracts.
The shares will be placed to yet-to-be identified third party investors at a price to be determined at a later date, the group said in an exchange filing on Tuesday. The placement may be implemented in multiple tranches.
Binasat said the placement shares will not be priced at more than 10% discount to the five-day volume-weighted average market price of the shares immediately before the price-fixing date.
On Tuesday, Binasat shares closed half a sen or 6.67% higher at eight sen, giving the group a market capitalisation of RM48.3 million.
In its filing, Binasat also proposed a variation to the utilisation of proceeds raised from a previous private placement of 128.14 million shares which was completed in September 2025.
The variation would allow the group to reallocate funds which were previously earmarked for the acquisition of 241 units of fully furnished hotel suites in Empire City, Damansara Perdana, from Cosmopolitan Avenue Sdn Bhd.
This follows the cancellation of the acquistion on Aug 12 this year, paving the way for Binasat to receive a refund of RM32.19 million, comprising RM29.19 million paid towards the acquisition and RM3 million in costs and expenses.
Binasat said it has earmarked an estimated RM4.08 million of the gross proceeds to be raised from its proposed private placement and RM21.67 million of the refunded sum to part finance its existing and future contracts.