UCAR’s latest 4.6-billion-yuan placement falls short of target
Chinese taxi App UCAR announced that it has raised RMB 4.6 billion in a private placement to four new investors. The proceeds was less than half of the company’s original fundraising target of 10 billion yuan.
UCAR, listed on the New Third Board, announced on February 28 that the company has received RMB 4.6 billion in a private placement.
A total of 273.8 million shares were distributed to four new investors including China UnionPay and Shanghai Pudong Development Bank, at RMB 16.8 per share, according to UCAR, a chauffeur company with full-time drivers launched by Chinese car rental firm CAR Inc.
The company announced in October 2016 that its board of directors had approved the plan of offering no more than 588,235,293 shares at RMB 16.67-17.00 per share to raise up to RMB 100 billion.
The result of the offerings is less than half of the company’s original fundraising target.
The company’s announcement also showed that its existing stakeholders have agreed to give up their priority rights in purchasing UCAR’s newly-issued shares. (Translated by Jerry)