RLC is planning to issue new shares to its existing shareholders through Shares Rights Offering or SRO. As much as 1.1 million shares will be offered at an offer price that is yet to be determined.
According to their disclosure this Friday, existing shareholders will be eligible to buy 1 share of RLC for every 3.6 to 4.3 common shares they own.
Proceeds for this SRO will be used to finance land acquisitions for future expansions.
This announcement led to a selloff of RLC to match the valuation estimated by COL financial of 27.10 – 28.10.
RLC was down by 14.63% closing at 21.00 yesterday
