(For consistency, the abbreviations and definitions used throughout this announcement shall have the same meanings as those previously defined in the announcement dated 5 May 2021 in relation to the Rights Issue with Warrants, where applicable, unless stated otherwise or defined herein.)

Reference is made to the earlier announcements in relation to the Rights Issue with Warrants dated 5 May 2021 and 24 May 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 at RM0.10 per Warrant (“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 of the Circular;

(ii)         the TEAP of RM0.0998 per Share, calculated based on the 5-day VWAP of the Shares up to and including 7 July 2021, being the last trading day before the date of fixing the Issue Price and the Exercise Price (“LTD”), of RM0.1295 per Share; and

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

The Issue Price represents a discount of approximately 20% to the TEAP of RM0.0998 per Share, calculated based on the 5-day VWAP of the Shares up to and including the LTD of RM0.1295 per Share and the Exercise Price of RM0.10 per Warrant.

The Board had fixed the Exercise Price after taking into consideration, amongst others, the TEAP of the Shares based on the 5-day VWAP of the Shares up to and including the LTD.

The Exercise Price is approximately equivalent to the TEAP of the Shares of RM0.0998, calculated based on the 5-day VWAP of the Shares up to and including the LTD of RM0.1295 and the Issue Price of RM0.08 per Rights Share.

This announcement is dated 8 July 2021.