Ahmad Zaki Resources Bhd (KLSE:AZRB) (AZRB) plans to undertake a private placement of 10% of its share base to raise MYR 12.7 million to fund the engineering and construction group?s working capital requirements. Nearly all of the proceeds, MYR 12.6 million, has been earmarked for working capital for the group's engineering and construction division, while the remaining MYR 100,000 will defray the exercise?s estimated expenses. ?The proceeds earmarked for working capital will be utilised for, among others, the purchase of building materials, and payment to subcontractors and suppliers for the following two construction projects identified by the management ?

Masjid Bandaraya Kuantan and Jalan Pintasan Cameron Highland," the group said in a bourse filing. The private placement entails the issuance of up to 59.64 million shares ? 10% of its share base of 598.1 million shares ?

to third-party investors to be identified later, at an issue price to be determined later. AZRB noted that it had not undertaken any other fundraising exercise in the prior 12 months. Subject to requisite approvals ?

from Bursa Securities and other relevant authorities ? the private placement is expected to be completed in the first quarter of 2024. UOB Kay Hian Securities (M) Sdn Bhd has been appointed as the adviser and placement agent for the proposed exercise.