The Capital Markets Authority (CMA) has granted approval to TransCentury Plc to undertake s rights issue to raise KES 2.063 billion by issuing and listing 1,876,013,830 new ordinary shares ate KES 1.10 per share.
The rights will be issued based on five new ordinary shares for every one existing share held by each shareholder.
The proceeds of the rights issue will be applied towards settling debts owed to creditors, repaying part of the holding company debt owed to lenders and in return unlock additional working capital financing for the Group and its subsidiary businesses and defraying statutory obligations.
TransCentury Plc has not published the financial statements for the year ended December 31, 2021, which were due for submission and publication on April 30, 2022, and will use part of the funds raised to undertake audits and publish its financial statements.
A minimum of 50% of the rights are required to be accepted for the rights issue to be declared successful.