EPI (HKG:0689) plans to raise up to HK$192.7 million in net proceeds through a two-for-one rights issue priced at HK$0.16 per share, according to a Tuesday Hong Kong bourse filing.

Shares of the oil explorer were down over 3% in late-morning trade on Wednesday.

Under the proposal, shareholders will be offered two rights shares for every one share held on the record date.

The company expects to issue up to 1.24 billion new shares, assuming no change in its share capital before the record date, the filing showed.

The subscription price represents a 17.1% discount to the last closing price and a discount of more than 75% to net asset value, the filing showed.