Canvest Environmental Protection Group Company Limited (SEHK:1381) announced that it entered into a subscription agreement with returning investor True Victor Holdings Limited for private placement of 300,000,000 shares at HKD 3.50 per share for gross proceeds of HKD 1,050,000,000 on February 17, 2017. The shares being issued will be subject to a lock-up period of 12 months. The shares being issued will represent 12.9% of the issued share capital of the company. The investor and its associates currently own 2.8% stake in the company and will hold 15.3% stake upon closing. The investor will appoint one director to the company’s board. The transaction is subject to approval of the listing committee of the Stock Exchange having granted or agreeing to grant the listing of and permission to deal in shares on the Stock Exchange and all the relevant third party authorizations, approvals, consents, waivers and permits. The company will receive net proceeds of HKD 1,018,100,000. The transaction is not subject to shareholders’ approval. The closing will take place by May 31, 2017. The share capital of the company will increase from 2,034,235,294 shares to 2,334,235 shares.