MINDTELL TECH (08611) has proposed a rights issue on the basis of one new share for every existing share held. The subscription price is set at HK$0.60 per share, with up to 468 million new shares to be issued, assuming no change in the number of issued shares prior to the record date. The maximum gross proceeds from the rights issue, before expenses, are estimated at approximately HK$280.8 million, assuming full subscription.

After deducting estimated expenses related to the rights issue, the net proceeds are expected to be no more than HK$275 million, assuming no change in the number of issued shares. The company plans to use the funds raised to enhance its existing IT infrastructure through integrated artificial intelligence solutions, upgrade its primary data center in China to expand data capacity, and redevelop certain software-as-a-service products to diversify its service offerings.