AE LOGISTICS has announced a proposed placement of up to 105.6 million shares.

The shares to be placed represent 20.00% of the company's existing issued share capital as of the date of the announcement, and approximately 16.67% of the enlarged share capital following the issuance.

The placement price is set at HK$0.084 per share, representing a discount of approximately 18.4% to the closing price of HK$0.103 per share on June 25.

Assuming the full placement of all shares, the gross proceeds are expected to be approximately HK$8.87 million, with net proceeds estimated at around HK$8.62 million.

The company intends to allocate the net proceeds as follows: approximately 52.2% will be used for project development, about 40.6% is earmarked for repaying bank and other borrowings (including interest expenses) of the group, and the remaining 7.2% is designated for the group's general working capital and improving its cash position.