JK Tech/ Ezion

JK Tech/ Ezion: JK Tech, the IT products distributor proposed to diversify into the business of exploration, exploitation and production of oil and gas, to extend its revenue base and improve growth prospects. In conjunction, JK Tech will issue new shares to three separate parties to raise net proceeds of $6.8m- Ezion (42m shares at 9¢ each), SF Ventures (13m shares at 13.5¢ each) and placement agent, Maybank Kim Eng (20m new shares at 13.5¢ each). In addition, JK Tech will issue 325m 5-year options for the right to subscribe for one new JK Tech share at 9¢ each, to Ezion (260m options) and SF Ventures (65m options). Meanwhile, Ezion will issue 1.8m new shares at $2.0445/share to JK Tech for its consideration of $3.8m. Post transaction, Ezion will become JK Tech's majority shareholder with 64.82% of enlarged share capital (assuming all options are exercised) and will be instrumental in guiding JK Tech in developing its new business activities. Proforma NTA per share for JK Tech stands at 9.1¢ and $0.852 for Ezion.