HONG KONG, Aug. 14, 2015 /PRNewswire/ -- Blue Sky Power Holdings Limited ("Blue Sky Power" or "the Company", together with its subsidiaries, the "Group", HKSE stock code: 6828) is pleased to announce that on 13 August 2015, the Company entered into a convertible bond subscription agreement with Templeton Strategic Emerging Markets Fund IV, LDC ("Templeton Strategic"), which Templeton Strategic conditionally agreed to subscribe, and the Company conditionally agreed to issue convertible bond in an aggregate principal amount of HK$116 million.
Subject to compliance with the Listing Rules, the Company grants an option (the "Subscription Option") to Templeton Strategic to subscribe in cash for additional Convertible Bond (the "Additional Convertible Bond") at the issue price of up to HK$116 million, which is the price equivalent to 100% of the principal amount of such Additional Convertible Bond. The Subscription Option may be exercised by Templeton Strategic or Templeton Strategic's SPV within six weeks from the date of the convertible bond subscription agreement.
Immediately after full conversion of the convertible bond, Templeton Strategic's shareholding in the Company is 5.27%. The entire amount of the net proceeds is intended to finance the expansion of the natural gas business and as the general working capital of the Group.
Templeton Strategic is managed by Templeton Asset Management Ltd's Emerging Markets Group, which has more than 50 investment professionals based in 18 offices located throughout emerging market countries. It is also a subsidiary of Franklin Resources, Inc. (NYSE: BEN), a global investment management organization providing global and domestic investment management to retail, institutional and sovereign wealth clients in over 150 countries. With offices in 35 countries, the California-based company has more than 65 years of investment experience and over $866 billion in assets under management as of 30 June 2015.
Mr. Tommy Cheng, Chairman and Executive Director of Blue Sky Power, said, "This is an opportunity for the Group to enhance our working capital and strength our financial position for financing the expansion of our natural gas business. It also signifies the confidence of Templeton Asset Management Ltd, which is an internationally renowned investment fund in the market, in the potential of the Company and demonstrates their willingness to support us."
Blue Sky Power Holdings Limited
Blue Sky Power Holdings Limited was previously engaged books & specialized products printing. The Group has ventured into natural gas industry in the PRC in 2013 and has entered into agreements to acquire natural gas assets in Shandong, Jiangsu and Liaoning.
