KUALA LUMPUR, FBG Holdings Bhd, a turnkey contractor and property developer, has announced plans for a renounceable rights issue with warrants to fund its flagship Medi-City development.
The group said the fundraising exercise, priced at an estimated 18 sen per rights share, could generate up to RM100.1 million under the base case scenario. This will involve the issuance of as many as 836.6 million new ordinary shares, on the basis of three rights shares for every four existing shares held.
In addition, up to 278.9 million free detachable warrants will be offered, with one warrant attached to every three rights shares subscribed by eligible shareholders.
“The proceeds will allow us to take the first crucial step in realising the Medi-City project, which aims to create a medical ecosystem that blends healthcare services with modern urban living,” said FBG group executive chairman Tan Sri Chan Kong Choy in a statement.
The company noted that funds raised will be primarily allocated toward acquiring land for the Medi-City project, which carries an estimated gross development value of RM2 billion. Subject to approvals and market conditions, FBG expects the proposed rights issue with warrants to be completed by the fourth quarter of 2025.
