WuXi XDC Cayman (HKG:2268) aims to raise about HK$1.41 billion in net proceeds through a subscription of 24.13 million new shares by controlling shareholder WuXi Biologics (HKG:2269) at HK$58.85 each, according to a Wednesday Hong Kong bourse filing.

The subscription price represents a 4.0% discount to the last close and a 2.9% premium to the five-day average.

The new shares represent about 2.0% of the existing share capital, or 1.9% after both the placing and subscription are completed.

WuXi XDC said it will use about 90% of the proceeds to expand capacity at its Singapore and Wuxi sites, with the balance for working capital and general corporate purposes.

The subscription deal coincides with a HK$1.30 billion share placing to independent investors announced earlier.