DGB

0.100

-0.005 (-4.8%)

OTHERS DGB ASIA BERHAD ("DGB" OR "THE COMPANY") EXTENSION ON TIMEFRAME FOR THE UTILISATION OF PROCEEDS RAISED FROM THE PROPOSED RENOUNCEABLE RIGHTS ISSUE WITH WARRANTS C

DGB ASIA BERHAD

Type Announcement
Subject OTHERS
Description
DGB ASIA BERHAD ("DGB" OR "THE COMPANY")

EXTENSION ON TIMEFRAME FOR THE UTILISATION OF PROCEEDS RAISED FROM THE PROPOSED RENOUNCEABLE RIGHTS ISSUE WITH WARRANTS C

Reference is made to the proposed utilisation of proceeds raised from the Proposed Renounceable Rights Issue of up to 1,202,508,216 new shares ("Rights Shares") together with up to 601,254,108 free detachable warrants in DGB ("Warrants C") on the basis of 6 Rights Shares together with 3 Free Warrants C for every 1 existing share held (after the Proposed Consolidation of every 10 ordinary shares in DGB into 1 DGB share) ("Proposed Renounceable Rights Issue With Warrants C"). The Company had raised a total gross proceeds of RM114,765,292 from the Proposed Renounceable Rights Issue with Warrants C ("Renounceable Rights Issue Proceeds").

 

To-date, the Company has yet to fully utilise the Renounceable Rights Issue Proceeds. The Company wishes to announce that the Board of Directors of DGB has resolved to extend the timeframe for the utilisation of proceeds for the expansion of Ping-U, an e-commerce last mile fulfillment solutions provider in Malaysia and marketing expenses for another 12 months period until 20 January 2025 ("Extension of Time").

 

A summary of the revised utilisation of Proceeds is set out below:

 

Description

Proposed Utilisation

RM

Amount Utilised up to 31 December 2023

RM

Amount Unutilised

RM

Initial Time Frame for Utilisation

Previosuly Revised Time Frame for Utilisation

Further Extension of Time for Utilisation

Expansion of Ping-U, an e-commerce last mile fulfilment solutions provider in Malaysia

 

60,000

23,652

36,348

Within 36 months

Within 12 months

Within 12 months

Expansion of the smart vending machines business

 

15,000

15,000

-

Within 24 months

Within 12 months

-

Marketing expenses

20,000

9,265

10,735

Within 36 months

 

Within 12 months

Within 12 months

Working capital

 

8,865

8,865

-

Within 24 months

 

-

-

Acquisition and/or investment in other complementary businesses and/or assets

10,000

10,000

-

Within 24 months

-

-

Expenses in relation to the corporate exercises

 

900

900

-

Immediate

-

-

Total

114,765

67,682

47,083

 

 

 

 

The Board is of the opinion that the Extension of Time is in the best interest of the Company. The Extension of Time is not subject to any regularly authorities or shareholders' approval.

 

Nonetheless, the Company shall continue to be vigilant and prudent in managing the Renounceable Rights Issue Proceeds and will continue to disclose the status of the utilisation in the Company's quarterly results and annual report until it is fully utilised.

 

This announcement is dated 19 January 2024.






Announcement Info

Company Name DGB ASIA BERHAD
Stock Name DGB
Date Announced 19 Jan 2024
Category General Announcement for PLC
Reference Number GA1-27122023-00037