Gaoxian

Gaoxian: China Gaoxian resumes its trading today, having been suspended for the past 2.5 years due to irregularities on its accounting. There was a placement by Fleur Capital of $27m into the company, subscribing for 270m new shares at 10c a piece. This proceeds will fund its expansion in polyester production capacity and the Huaxiang project, to produce polymer of differentiated polyester yarn and polythene terephthalate chips, expected to commence by 3Q this year. In addition, the company will issue warrants (1 warrant for every 2 shares, with ex px of $0.10), to be listed on or about 20 Sep 2013. Shareholders, who previously held equity in the fabric supplier and manufacturer based in China, had the chance after waiting 2.5 years to clear their legacy holdings today on 159.2m shares or $14.5m.