China Sci-Tech raises $600 million from placement

The Hong Kong-listed company gets strong approval from investors for its recent move into copper mining causing its share price to soar ahead of the placement.

Hong Kong-listed China Sci-Tech Holdings, an investment company recently turned copper miner, on Friday completed a HK$4.68 billion $600 million placement of new shares that increased its market capitalisation by about 3.5 times.

The money will be used to repay the short-term bridge loans taken to pay for the acquisition of two copper projects in Peru and Australia, which have been completed over the past month, and to fund the capital costs to develop one of the projects.

The large size of the fixed-price deal -- it also accounted for more than 280 days' worth of trading volume based on the average daily turnover in the past 30 days -- and the fact that...

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