KUALA LUMPUR, Oct 23 — Hengyuan Refining Company Bhd has raised RM234 million in gross proceeds from its rights issue exercise, which was oversubscribed by 122.88 per cent.

The refining and manufacturing of petroleum products company said in a statement today that it received valid acceptances and excess applications for a total of 368.64 million rights shares as at the close of the exercise on October 17, 2025.

The rights issue involved up to 300 million new ordinary shares together with up to 150 million free detachable warrants based on one rights share for every one existing share held, and one warrant for every two rights shares subscribed, at an issue price of 78 sen per share.

Hengyuan said the majority of the proceeds will be used to purchase additional crude oil feedstock, the primary raw material for refining and manufacturing petroleum products, to enhance production efficiency, reduce unit costs per barrel and strengthen the company’s competitiveness.

Hengyuan’s major shareholder, Malaysia Hengyuan International Ltd (MHIL), which holds 51.02 per cent of the company’s issued shares, subscribed for its full entitlement and excess rights shares, enabling it to meet the minimum fundraising target of RM155 million.

The rights shares and warrants are expected to be listed and quoted on the Main Market of Bursa Malaysia on October 30, 2025. — Bernama