Healthway Medical Corp says it plans to raise $46.2 million by a private placement and loan package with International Finance Corporation (IFC) and another private placement with One Organisation and its directors.

Healthway Medical says IFC, a member of the World Bank Group, has agreed to subscribe for up to 108 million new shares at 13 cents each, raising $14 million.
IFC will also extend a long-term loan, for a period of up to 10 years, of US$15 million ($21 million) to Healthway Medical.

Separately, Healthway Medical says One Organisation, Aathar Ah Kong Andrew and the executive directors of the company, namely Fan Kow Hin, Dr Jong Hee Sen, and Dr Wong Weng Hong have agreed to subscribe up to 85,873,404 new at 13 cents each. This will raise $11.2 million.

Healthway Medical says it will use $28 million to accelerate its China expansion plans in Shanghai and other major cities in China including Suzhou, Nantong and Nanjing.

The balance proceeds of $18.2 million will be used for general working capital purposes and expenses incurred in the proposed placements and funding.