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Attilan inks MOU to buy family entertainment content producer; to seek shareholders' nod for transfer to Catalist

ATTILAN Group has entered into a non-binding memorandum of understanding (MOU) with Tremendous Opportunity Fund I LP (TOF) to acquire family entertainment content producer, Tremendous Entertainment Group (TEG), for S$100 million.

It also plans to seek shareholder approval to transfer from the Singapore Exchange (SGX) mainboard to the Catalist board.

The acquisition will be paid by a combination of cash and issue of new Attilan shares, with the issue price per share to be negotiated after completion of the acquisition. The MOU states that Attilan, whose shares are suspended, will issue at least S$5 million worth of new shares with regard to the purchase.

Both parties will deal exclusively with each other for one month from June 26 - the MOU signing date.

After the signing of a definitive sales and purchase agreement, Attilan and TOF will appoint an independent valuer to provide a valuation for TEG.

The proposed acquisition will be classified as "very substantial" or a "reverse takeover" according to the SGX listing manual.

Attilan will seek shareholder approval at an extraordinary general meeting for the acquisition and the transfer from the mainboard to the Catalist board.

It was previously served a delisting notification by the SGX on June 4, but plans to appeal it.

Attilan and TOF have agreed that the acquisition will proceed regardless of whether Attilan is granted the appeal or an extension by the SGX.

The deal will move Attilan's principal business further towards family entertainment content, and is in line with its corporate strategy to venture into a new business area. 

The group's business segments are investment management, financial advisory, media sales and preschool.

TEG's three anchor businesses are broadcast, live and interactive exhibitions. It has been in the industry for more than 20 years, and owns preschool children TV programme Hi-5. It also manages the Sands Theatre in Marina Bay Sands, among other assets.

The acquisition will help the group achieve a more consistent and sustainable financial growth, Attilan said.

It will also place it in a better position to appeal its trading suspension, and improve investor interest and trading liquidity of its shares.