Ultro Technologies to issue 34 mln new shares at 0.046 sgd/share

Ultro Technologies Ltd said it will issue 34 mln new ordinary shares at 0.046 sgd each to raise about 1.54 mln sgd to repay debt, fund a legal suit and for working capital. The company said the shares were priced at an 8.8 pct discount to the volume-weighted average price of Ultro shares for trades done on the Singapore Exchange between Sept 29 and Oct 3 when trading was halted, and represent 14.4 pct of the firm's enlarged issued share capital. Proceeds will be used to retire bank borrowings from the United Overseas Bank Ltd, fund the legal suit between unit CP Solutions Pte Ltd and General Electric Co, while the balance will be used as working capital, Ultro said in a statement. Pending the deployment of the proceeds, Ultro said it may deposit the funds with financial institutions or invest them in short-term money markets or debt instruments.