(Yicai Global) Nov. 28 -- China's Crystal Clear Electronic Material will issue shares to gain up to CNY970 million (USD135 million) to expand its production of chips and battery materials, marking the electronic component maker's fifth fundraiser since 2019.
Crystal Clear will use the proceeds to seize market opportunities while improving its business positioning in the fields of semiconductors and lithium battery materials, the Suzhou-based firm said in a statement recently. It has not decided on the scale and price of issuance. However, the environmental impact assessment is underway and the firm has already finished registering the plan.
The company will use CNY220 million of the money raised to replenish its working capital or to repay bank loans. Some CNY750 million will be spent on a CNY850 million project with a construction period of 24 months.
Since 2019, Crystal Clear has garnered over CNY1.2 billion (USD166.6 million) via four fundraisers, mostly focusing on battery materials. Consequently, its further investments amounted to nearly CNY1.4 billion as of the third quarter of this year. Last year, the company earned CNY207 million in net profit.
Crystal Clear's stock price [SHE: 300655] dropped 5.7 percent to close at CNY15.65 (USD2.20).
Editor: Emmi Laine, Xiao Yi