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Sino Technology Investments Company Limited
(Stock Code: 1217)
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Listing Date: |
28 August 2002 |
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Offer Price: |
HK$0.25 per share |
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Par Value: |
HK$0.01 each |
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No. of Shares under the offer : |
66,000,000 Shares |
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No. of Shares under Placing: |
66,000,000 Placing Shares |
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Market Capitalization: |
HK$50.0 million |
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Sponsor: |
Kingston Corporation Finance Limited |
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Chairman: |
Mr. Shiu Shu Ming |
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Fund Raising |
HK$16.5 million |
Major Shareholder:
- WYSE Technology (Far East) Ltd - 12.0% interest
- Mr. Ng Kwong Chue Pual - 26.0% interest
- Mr. Xiang Xin - 29.0% interest
COMPANY OVERVIEW
The Company is a close-ended investment company incorporate with limited liability as an exempted company under the Companies law in the Cayman Islands on 7th February 2002. The Group will be principally engaged in investment in listed and unlisted companies, mainly in HK and PRC. The Company has not commenced operation or business save for the purpose of or in connection with the Public Offer and the entering into of the contracts described in this prospectus.
INVESTMENT OBJECTIVE
The principal investment objective of the Company is to achieve medium-term (i.e. from 3 to 5 years) capital appreciation through investments in listed and unlisted companies, mainly in Hong Kong and the PRC.
INVESTMENT POLICIES
Investments will normally be made in the form of equity-related securities and debt instruments in listed and unlisted companies engaged in industries including (but not limited to ) information technology, telecommunications, manufacturing, services, property, infrastructure, life science and environmental sectors to maintain a balance in the Company's exposure to different industry sectors in order to minimize the impact on the company in the event of any downturn in any particular sector.
The Compnay may also invest in other types of investments in accordance with the investment objective and policies adopted by the Company from time to time and the requirements of the Memorandum, the Articles, and the Listing Rule and the Investment Management Agreement.
RISK FACTORS
The income from the investments and the Net Asset Value may go down as well as up, among other things, the then prevailing market conditions.
There can be no assurance that Shares will experience trading or pricing patterns similar to those of securities with a correlation to PRC investments traded on the Stock Exchange or any other securities exchange.
There is no assurance that an active trading market for the Shares will develop upon completion of the Public Offer.
The Group is a newly established investment company with no historical track record and the profit or value of the company relies on the expertise of the Directors.
PRO FORMA NET TANGIBLE ASSET VALUE
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Net tangible assets as at the Latest Practical Date |
HK$33,500,000 |
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Estimated net proceeds of the Share offer |
HK$12,500,000 |
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Adjusted net tangible assets |
HK$46,000,000 |
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Adjusted net tangible asset value per Share |
HK$0.23 |
INDEBTNESS
As at the Latest Practicable Date, the Company has no outstanding mortgages, charges, debentures or other loan capital or bank overdrafts, loans or other similar indebtedness or hire purchase commitments of finance lease commitments or any guarantees of other material contingent liabilities. Since the Company has on outstanding indebtedness, the Directors are of the view that the Company has sufficient liquidity and financial resources to meet its capital expenditure requirements.
USE OF PROCEEDS
The net proceeds from the Placing, after deducting the related expenses, are estimated to amount to approximately HK$12.5 million (based on the offer price HK$0.25 per shares). The net proceeds from the New Issue will be applied in funding the investments in accordance with the investment objective and investment approach. Any proceeds not invested will be deposited with the Company's bankers.
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