(For consistency purposes, the abbreviations and definitions used throughout this announcement shall have the same meanings as those previously defined in the announcement dated 5 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 5 February 2021, 8 March 2021 and 7 April 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 RM0.10 per Rights Share (“Issue Price”) and the exercise price of the Warrants D at RM0.10 per Warrant D (“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 6 of the circular to shareholders of the Company dated 18 March 2021 (“Circular”);

(ii)        the reference share price of the Shares (after the Share Consolidation);

(iii)        the TEAP of mTouche Shares of RM0.1165, calculated based on the 5-day VWAP of mTouche Shares up to and including 16 April 2021, being the last trading day before the date of fixing the Issue Price and the Exercise Price (“LTD”) of RM0.0265 and after adjusting for the effects of the Share Consolidation; and

(iv)       the rationale for the Rights Issue with Warrants, as set out in Section 7.3 of the Circular.

The Issue Price represents a discount of approximately 14.2% to the TEAP of mTouche Shares of RM0.1165.

The Board had fixed the Exercise Price at RM0.10 per Warrant D after taking into consideration the following:-

(i)         the TEAP of mTouche Shares of RM0.1165, calculated based on the 5-day VWAP of mTouche Shares up to and including the LTD of RM0.0265 and after adjusting for the effects of the Share Consolidation;

(ii)        the future prospects of the Group, further details of which are set out in Section 8.5 of the Circular; and

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

The Exercise Price per Warrant D represents a discount of approximately 14.2% to the TEAP of mTouche Shares of RM0.1165.

This announcement is dated 19 April 2021.