On behalf of the Board of Directors of mTouche, Mercury Securities Sdn Bhd wishes to announce that the Company proposes to undertake the following:-

(i)         proposed diversification of the existing business of the Company and its subsidiaries to include the businesses relating to the healthcare industry (“Proposed Diversification”);

(ii)         proposed consolidation of every existing 10 ordinary shares in mTouche (“mTouche Shares” or “Shares”) into 1 Share (“Consolidated Share”) (“Proposed Share Consolidation”);

(iii)        proposed renounceable rights issue of up to 794,374,098 new Shares (“Rights Shares”) together with up to 397,187,049 free detachable warrants in mTouche (“Warrants D”) on the basis of 6 Rights Shares together with 3 free Warrants D for every 1 existing Consolidated Share held by the entitled shareholders on an entitlement date to be determined (“Proposed Rights Issue with Warrants”); and

(iv)        proposed extension of timeframe for the utilisation of the remaining proceeds raised from the rights issue exercise that was completed on 9 November 2017 (“Proposed Extension of Time”),

(collectively referred to as the “Proposals”).

Please refer to the attachment for further details on the Proposals.

This announcement is dated 5 February 2021.