Beijing's Life Healthcare Group Ltd. is issuing 500 million to 1,070,857,060 news shares at 12 Hong Kong cents apiece.

The Hong Kong-listed provider of genetic testing and health data analysis services expects to raise up to about HK$123.9 million through the placement. The shares being issued would represent about 16.67% of Life Healthcare Group.

The company said HK$70 million of the net proceeds will go toward future acquisitions, with the remaining funds to be used as general working capital.

The transaction must be completed on or before Dec. 31, subject to stock exchange approval or extension. Life Healthcare Group may also terminate the placement if it would raise less HK$120 million.

CNI Securities Group Ltd. is acting as placing agent for the transaction.