Dynex Announces Successful Completion of Rights Issue
Lincoln, England, December 31st, 2009 - Dynex Power Inc., a leading specialist high power semiconductor company, today reported that the rights issue first announced on October 26th, 2009 was oversubscribed, with strong demand from the minority shareholders as well as the majority shareholder, Zhuzhou CSR Times Electric Co., Ltd., taking up the 75% of the available rights as it had previously indicated.
Computershare, the Company's registrar, informed Dynex that all of the 40,195,714 shares that were available through the exercise of rights had been taken up and exercised by 5.00pm Eastern Standard Time on December 30th, 2009, which was the expiry date of the issue as set out in the Final Prospectus filed November 23rd, 2009. This total includes the early subscriptions that were announced on December 22nd, 2009. At the issue price of $0.56 per share, the gross proceeds of the issue were $22,509,600 which is expected to produce the net proceeds of approximately $22,009,600 set out in the prospectus.
A spokesman for the Company, said that the Management, Board of Directors and majority shareholder, Zhuzhou CSR Times Electric Co., Ltd. were all very gratified with the results of the rights issued and highly appreciative of the strong support from the minority shareholders. The spokesman also said that the Company was eager to put the money to work and looks forward to the successful completion of the expansion and upgrade of the Company's fabrication facility for silicon chips to be used in IGBT modules. The existing line, which processes 4-inch diameter silicon, is being replaced by two 6-inch lines. The installation of the two new lines will increase capacity approximately tenfold to help Dynex take advantage of the significant opportunities in China.