Stark Corporation Public Company Limited (SET: STARK) announced on Monday that pursuant to the board of directors meeting on 13 December 2022 , the board of directors had decided to to exercise its rights to withdraw from the share purchase agreement enter into among the company, LEONI AG and LEONI Bordnetz-Systeme GmbH (the SPA) under the SPA and by law, resulting in the company not able to utilize the capital increase acquired from the selling of newly issued ordinary shares to specific investors (private placement) for the transaction.
The company clarified that it will spend such proceeds for the best benefit of the company and its shareholders including business growth and strengthening the business operations of the company.
The board of directors will provide the revised purpose and plan of use of proceeds to the Shareholders Meeting in accordance with the applicable rules and regulations.
Currently, the board of directors is still in the process of determining the new purpose and plan of use of proceeds from the capital increase for the best benefit of the company and its shareholders and will provide the outcome of such consideration to the shareholders meeting for further consideration and approval.
