Asia Pacific Wire & Cable Corporation Ltd. Announces Key Dates for Rights Offering
29 December 2021 - 8:05AM
Asia Pacific Wire & Cable Corporation Limited (Nasdaq: APWC)
(the “Company”), a leading manufacturer of wire and cable products
for the telecommunications and electric-power industries in the
Asia-Pacific region, today announced its record date and expected
subscription period for its previously-announced rights offering.
In the rights offering, the Company will
distribute, at no charge to its shareholders, non-transferable
subscription rights to purchase additional common shares of the
Company. The subscription rights will be issued to holders of
common shares as of 5:00 p.m., Eastern Standard Time, on January 7,
2022, the record date for the rights offering, at a ratio of one
subscription right per common share. The subscription period for
the rights offering is expected to commence on January 14, 2022,
and to terminate at 5:00 p.m. Eastern Standard Time on January 31,
2022, which we refer to as the expiration date of the rights
offering. Each subscription right will entitle the holder to invest
$0.60 towards the purchase of additional common shares of the
Company at a price per share equal to the subscription price. The
subscription price will be equal to 90% of the lower of (1) the
volume weighted average price per common share on the Nasdaq
Capital Market over the five consecutive trading days through and
including the expiration date of the rights offering and (2) the
closing price per common share on the Nasdaq Capital Market on the
expiration date of the rights offering. This pricing formula is
intended to ensure that the subscription price is at least a 10%
discount to the closing price per common share on the expiration
date of the rights offering. The Company will disclose the final
terms of the rights offering promptly following the expiration
date.
The rights offering will include an
over-subscription privilege, which will permit each rights holder
that exercises its subscription rights in full the option to
purchase additional common shares that remain unsubscribed at the
expiration of the rights offering. The over-subscription privilege
is subject to the availability and allocation of shares among
holders exercising their over-subscription privilege.
The Company’s controlling shareholder, Pacific
Electric Wire & Cable Co., Ltd. has informed the Company that
it intends to participate in the rights offering by means of a cash
investment of at least approximately $6.3 million. However, there
is no guarantee or commitment that Pacific Electric Wire &
Cable Co., Ltd. will ultimately decide to exercise any of its
subscription rights.
The purpose of the rights offering is to raise
equity capital in a cost-effective manner that gives all of the
Company’s shareholders the opportunity to participate on a pro rata
basis. If the rights offering is fully subscribed, the Company
expects to receive gross proceeds of approximately $8.3 million
before expenses. The net proceeds of the rights offering will be
used for general working capital and corporate purposes.
Other Important Information
For more information about the rights offering,
please see the prospectus included in the Company’s registration
statement (File No. 333-257970), which has been filed with and
declared effective by the Securities and Exchange Commission. The
proposed rights offering will be made pursuant to such registration
statement and a prospectus to be filed with the Securities and
Exchange Commission prior to the commencement of the proposed
rights offering.
The information herein, including the expected
terms of the proposed rights offering, is not complete and is
subject to change. Certain information, such as the number of
securities issuable upon exercise of a subscription right and the
proposed subscription price, has not yet been determined and will
be announced in subsequent press releases by the company. The
Company reserves the right to cancel or terminate the planned
rights offering at any time. This press release shall not
constitute an offer to sell or the solicitation of an offer to buy,
nor shall there be any sale of these securities in any state in
which such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
state.
About Asia Pacific Wire & Cable
Corporation
Asia Pacific Wire & Cable Corporation is a
holding company incorporated in Bermuda with principal executive
offices in Taiwan that operates the Company’s business through
operating subsidiaries. Through its subsidiaries, the Company is
principally engaged in the manufacture and distribution (in
descending order of sales) of enameled wire, power cable, and
telecommunications products in Thailand, Singapore, Australia, the
People’s Republic of China, Hong Kong and certain other markets in
the Asia Pacific region. The Company also engages in the
distribution of certain wire and cable products manufactured by its
controlling shareholder, Pacific Electric Wire & Cable Co.,
Ltd., and third parties. The Company also provides project
engineering services in the supply, delivery and installation of
power cable. The Company’s major customers include government
organizations, electric contracting firms, electrical dealers, and
wire and cable factories.
Safe Harbor Statement
This release contains certain "forward-looking
statements" relating to the Company, its business, and its
subsidiary companies. These forward-looking statements are often
identified by the use of forward-looking terminology such as
"believes", "anticipates", "expects", “estimates”, “intends”,
“plans” or similar expressions. Such forward looking statements
involve known and unknown risks and uncertainties that may cause
actual results to be materially different from those described
herein as believed, anticipated, expected, estimated, intended or
planned. Investors should not place undue reliance on these
forward-looking statements, which speak only as of the date of this
press release. The Company's actual results could differ materially
from those anticipated in these forward-looking statements as a
result of a variety of factors, including those discussed in the
Company's reports that are filed with the Securities and Exchange
Commission and available on its website (www.sec.gov). All
forward-looking statements attributable to the Company or to
persons acting on its behalf are expressly qualified in their
entirety by these factors other than as required under the
securities laws. The Company does not assume a duty to update these
forward-looking statements.
Contact:Investor
Relations
Contact:Skyline Corporate Communications Group, LLCLisa
Gray, Senior Account
ManagerOne Rockefeller Plaza, 11th FloorNew York, NY 10020Office: (646) 893-5835Email: lisa@skylineccg.com |
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