PETALING JAYA: Muhibbah Engineering (M) Bhd aims to raise up to RM128.46mil cash through new shares issuance.

       In a filing with Bursa Malaysia yesterday, the oil and gas company said it has proposed to undertake a renounceable rights issue of up to 256.91 million rights shares on the basis of one rights share for every two existing shares.

       The proceeds from the corporate exercise has been earmarked for partial repayment of the revolving credit facilities and working capitals.

       Muhibbah has targeted to complete the proposed rights issue by the second quarter of this year. It is not expected to have any material effect on the consolidated earnings of the group.