HKG:0373

Allied Group Plans Up to HK$570 Million Investment in APAC Resources

Allied Group (HKG:0373) plans to participate in APAC Resources' (HKG:1104) broader rights offering, potentially investing up to HK$569.8 million, according to a Thursday filing with the Hong Kong bourse.The financial services company's shares fell nearly 6%, while those of APAC Resources tumbled 27% in morning trade Friday.Allied Group will subscribe to its entitlement of 349.1 million rights shares for HK$506.2 million, and 43.9 million rights shares by way of excess application for HK$63.7 million.Following completion, Allied Group will hold 1.09 billion APAC shares, representing 48.70% of the company's enlarged issued share capital, assuming no other APAC shareholder takes up their rights and no outstanding warrants are exercised.