Khee San’s rights issue 80.25% subscribed, raises RM77.12mil

KUALA LUMPUR: Khee San Bhd (KSB) said its renounceable rights issue with warrants was 80.25% subscribed, raising RM77.12mil following the close of the application period on Dec 5, 2025.

In a statement, the confectionery manufacturer and distributor said the proceeds will support its ongoing regularisation plan and efforts to strengthen its financial position.

“We are grateful for the strong participation from our shareholders in this rights isue, demonstrating confidence in the group’s strategy and prospects ahead. This milestone brings us closer to restoring financial stability and progressing towards exiting PN17 status,” executive chairman Yong Loong Chen said.

Meanwhile, KSB chief executive officer Edward JP Tan said the proceeds from the rights issue will enable the group to implement its regularisation plan.

“By enhancing our financial position, this will support working capital requirements, settle amounts owed to scheme creditors and allow us to continue delivering long-term value to our stakeholders.”

The funds raised will also support the group’s turnaround initiatives, including key operational and financial priorities under its regularisation plan, strengthening its foundation for sustainable growth.

The regularisation plan, approved by Bursa Malaysia on Aug 19, 2024, includes a rights issue with warrants, a scheme of arrangement with creditors, a RM137.52mil share capital reduction, and the establishment of an employee share scheme.

KSB said the initiatives will support its exit from PN17 status and reinforce its more than 70-year operating track record.