(For consistency purposes, the abbreviations and definitions used throughout this announcement shall have the same meanings as those previously defined in the announcement dated 29 January 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 29 January 2021 and 23 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 RM0.05 per Rights Share (“Issue Price”) and the exercise price of the Warrants B at RM0.05 per Warrant B (“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 3, Part A of the circular to Shareholders dated 10 March 2021 (“Circular”);

(ii)         the TEAP of JOE Shares of RM0.0575, calculated based on the 5-day VWAP of JOE Shares up to and including 7 April 2021, being the last trading day before the price-fixing date (“LTD”) of RM0.0694; and

(iii)        the rationale for the Rights Issue with Warrants, as set out in Section 4, Part A of the Circular.

The Issue Price represents a discount of approximately 13.04% to the TEAP of JOE Shares of RM0.0575.

The Board had fixed the Exercise Price at RM0.05 per Warrant B after taking into consideration the following:-

(i)         the TEAP of JOE Shares of RM0.0575, calculated based on the 5-day VWAP of JOE Shares up to and including the LTD of RM0.0694;

(ii)         the future prospects of the Group, further details of which are set out in Section 5.5, Part A of the Circular; and

(iii)        to fix an exercise price that makes the Warrants B attractive for the purposes of enhancing the subscription level of the Rights Shares.

The Exercise Price per Warrant B represents a discount of approximately 13.04% to the TEAP of JOE Shares of RM0.0575.

This announcement is dated 8 April 2021.