(For consistency purposes, the abbreviations and definitions used throughout this announcement shall have the same meanings as those previously defined in the announcement dated 3 February 2021 in relation to the Rights Issue with Warrants, where applicable, unless stated otherwise or defined herein.)

We refer to the earlier announcements in relation to the Rights Issue with Warrants dated 3 February 2021 and 19 February 2021.

On behalf of the Board, Mercury Securities wishes to announce that the Company has resolved to fix the issue price of the Rights Shares at RM0.08 per Rights Share (“Issue Price”) and the exercise price of the Warrants F at RM0.10 per Warrant F (“Exercise Price”).

The Board had fixed the Issue Price after taking into consideration, amongst others, the following:-

(i)         the funding requirements of the Group as set out in Section 7 of the circular to shareholders of the Company dated 24 February 2021 (“Circular”);

(ii)         the TEAP of Sanichi Shares based on the 5-day VWAP of Sanichi Shares up to and including 7 April 2021, being the last trading day before the date of fixing the Issue Price and the Exercise Price (“LTD”); and

(iii)        the rationale for the Rights Issue with Warrants, as set out in Section 8 of the Circular.

The Issue Price represents a discount of 23.44% to the TEAP of Sanichi Shares of RM0.1045, calculated based on the 5-day VWAP of Sanichi Shares up to and including the LTD of RM0.2648.

The Board had fixed the Exercise Price after taking into consideration, amongst others, the TEAP of Sanichi Shares. The Exercise Price represents a discount of 4.31% to the aforementioned TEAP.

This announcement is dated 8 April 2021.