8 Jun 2007 07:06
GEONG International Limited ("GEONG" or the "Company") Placing of 5,245,000 Ordinary Shares to raise ‚£3.4 million
GEONG International Limited (AIM:GNG) the AIM listed, Beijing based, provider of enterprise content management (ECM) software and solutions, today announced it has introduced a number of institutional investors to its share register through the placing of 5,245,000 ordinary shares ("the Placing Shares"). Seymour Pierce Limited acted as broker.
The Placing Shares were placed at a price of 65 pence per share, raising approximately ‚£3.4 million (before expenses) for GEONG.
The proceeds of the Placing will allow GEONG to continue the development of its sales and marketing channels and accelerate the roll out of its award winning PortalAgeTM for large enterprises and SmartBoxTM product range for SMEs across China and, internationally, through its Canadian representative office.
As part of the placing the following Directors are investing in the business asdetailed below: New Ordinary Shares Total shareholding Approx. % of after the equity enlarged issued issue share capital after the placing Weidong Wang 62,051 3,776,144 11.97% Henry Tse 100,000 3,656,173 11.59% Peter Williamson 38,461 38,461 0.12%
Members of the Company's Management are also participating in the placing and have acquired a total of 870,214 shares raising approximately ‚£0.57 million.
Application has been made to AIM for the Placing Shares to be admitted to trading, which is expected to commence on 11 June 2007. The new shares will rank pari passu with existing ordinary shares.
Following the admission of the new Ordinary Shares, the Company's issued share capital will consist of 31,537,032 Ordinary Shares of 1p each, with voting rights. This figure may be used by shareholders in the Company, to determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FSA's Disclosure and Transparency rules.
Commenting on the Placing, Henry Tse, ChairmanofGEONGsaid:
"With our first year as an AIM listed company almost complete we believe that GEONG has built a solid foundation on which to grow. These additional funds will enable GEONG to do this at a faster rate than self funding growth as we did last year..
"The introduction of institutional shareholders to our share register and thefurther investment by GEONG's Management and Directors provide furthervalidation of the significant potential of GEONG. We look forward to the futurewith voted confidence."- ENDS -Enquiries:Henry Tse, Chairman www.geong.com Weidong Wang, CEO GEONG International Limited Tel: +86 10 877 30066
Emma Kane / Paul Dulieu / Tom Newman Redleaf Communications Ltd Tel: +44 (0)20 7822 0200 John Depesquale / Parimal Kumar
Seymour Pierce Tel: +44 (0)20 7107 8000 Notes to Editors
About GEONGInternational Limited
* GEONG is registered in Jersey and headquartered in Beijing. Its shares were admitted to AIM in June 2006 and trade under the ticker GNG.L * The Company has provided content management software and solutions since its establishment in September 2000 and has earned a reputation as a local technology leader in the Chinese Enterprise Content Management (ECM) market, especially in the financial services industry. * ECM software is an internet based suite of products that enables companies to capture, manage, store, preserve and deliver content, documents and data across thousands of users, processes and locations. * The Company has developed two proprietary product ranges: the PortalAgeTM suite designed for large enterprise customers and SmartBoxTM designed to capture the SME market's requirement for collaboration software. * PortalAgeTM clients include: Lenovo, Bank of Communications, China Construction Bank, FAW Volkswagen, Shanghai Automotive Industry Corporation, Shanghai General Motors and Air China. * In March 2007, the Company established a Canadian representative office in order to commence the international promotion of SmartBoxTM. * In 2006, GEONG was recognised for the second successive year in the Deloitte "Technology Fast 50 China 2006" and the "Technology Fast 500 Asia Pacific 2006", which recognises the fastest growing technology companies in China and in Asia Pacific respectively.
GEONG INTERNATIONAL LIMITED