Broncus (HKG:2216) said it agreed to issue about 105.1 million new shares at HK$3.11 each, raising net proceeds of about HK$326.5 million, according to an Oct. 10 Hong Kong bourse filing.

Shanghai INT Medical Instruments (HKG:1501) will subscribe for 91.1 million shares, representing the bulk of the placement, for a total consideration of HK$283.3 million.

Upon completion, Shanghai INT will hold about 14.4% of Broncus's enlarged share capital, excluding treasury shares.

The remaining 14 million shares will be taken up by Hangzhou Linheng Qingrui Enterprise Management Partnership, which engages in enterprise management and development services.

Broncus said the net proceeds will be used to fund potential acquisitions in the medical devices industry as part of its portfolio expansion strategy.