KUALA LUMPUR (July 9): Insas Bhd is planning to raise up to RM132.6 million from a renounceable rights issue of redeemable preference shares (rights RPS) with free detachable warrants to repay its bridging loans.

In a filing with Bursa Malaysia, the group said the rights issue involves up to 132.6 million new redeemable preference shares at an issue price of RM1 per rights RPS, together with 331.51 million new free detachable warrants on a basis of two rights RPS and five warrants for every 10 shares.

The tenure of the rights RPS is five years and it has a dividend rate of 3.8% per annum based on the issue price of the rights RPS.

Insas said the issue price of RM1 per rights RPS represents a premium of 43.29% to the five-day volume weighted average market price of Insas shares of 69.79 sen on the latest practicable date.

Barring any unforeseen circumstances and subject to all the required approvals being obtained, Insas said the corporate exercise is expected to be completed in the second half of this year.

Insas shares closed down one sen or 1.32% at 74.5 sen, bringing the group a market capitalisation of RM493.95 million. Some 343,600 shares were traded.

The stock has almost doubled from its recent low of 38 sen on March 19, but is still 9% down year to date.