New World Cyberbase jumps after coal mine purchaseadmin
Shares of New World Cyberbase Ltd. soared 85 percent early on Thursday after the firm announced a plan to buy a coal mine in western Mongolia for HK$1.2 billion (US$154 million).
The company’s shares, which were suspended on January 26, gained HK$0.23 to open at HK$0.50 in resumed trading.
New World Cyberbase said in a statement it would buy a coal mine, comprising mining licences and an exploration licence and mining assets, in Khovd province in western Mongolia from Puraway Holdings Ltd. for HK$1.2 billion.
Of the purchase, HK$270 million will be settled by issue of 1.125 billion new shares at HK$0.24 each, HK$142.5 million in a convertible bond, and the remaining HK$787.5 million to be settled by a loan note as deferred payment. (US$1=HK$7.8)