LUXCHEM

0.535

-0.005 (-0.9%)

NEW ISSUE OF SECURITIES (CHAPTER 6 OF LISTING REQUIREMENTS) : FUND RAISING LUXCHEM CORPORATION BERHAD (''LUXCHEM'' OR THE ''COMPANY'') PROPOSED PRIVATE PLACEMENT

LUXCHEM CORPORATION BERHAD

Type Announcement
Subject NEW ISSUE OF SECURITIES (CHAPTER 6 OF LISTING REQUIREMENTS)
FUND RAISING
Description
LUXCHEM CORPORATION BERHAD (''LUXCHEM'' OR THE ''COMPANY'')

PROPOSED PRIVATE PLACEMENT

(For consistency, the abbreviations used throughout this announcement shall have the same meanings as defined in the announcement dated 14 December 2020 in relation to the Proposed Private Placement, where applicable, unless stated otherwise or defined herein.)

 

Reference is made to the announcement dated 14 December 2020 in relation to the Proposed Private Placement (“First Announcement”).

 

On behalf of the Board, Mercury Securities wishes to announce the following additional information:-

 

1.         UTILISATION OF PROCEEDS

 

Reference is made to Section 3(ii) of the First Announcement.

 

In relation to the utilisation of proceeds for working capital, mainly for the purchase of raw materials as well as operating and administrative expenses, we wish to clarify the following:-

 

(i)         Some of the industrial chemicals used by the Group as raw materials include, amongst others, nitrile latex (used as a substitute for natural latex in the glove industry), Keoflo, Aquawax and calcium salt (these are latex chemical / dispersion chemical used in the manufacturing of gloves), Nipol styrene-butadiene rubber (SBR) (synthetic rubber used as a substitute for natural rubber in the rubber industry), carbon black (a pigment and rubber-reinforcing additive used in the rubber industry, particularly for automotive tyres) and polyvinyl chloride (PVC) resin (a material used in the manufacturing of plastics and rubbers).

 

(ii)         Under operating and administrative expenses, other miscellaneous items may include, amongst others, maintenance costs, upkeep of premises, training costs, insurance costs and office supplies. The actual breakdown of these expenses cannot be determined at this juncture as it will depend on the actual operating and administrative requirements of the Group at the relevant time.

 

 

This announcement is dated 16 December 2020.






Announcement Info

Company Name LUXCHEM CORPORATION BERHAD
Stock Name LUXCHEM
Date Announced 16 Dec 2020
Category General Announcement for PLC
Reference Number GA1-16122020-00084