Mercurius gets S$1m convertible loan from existing investor
CATALIST-LISTED Mercurius Capital Investment has secured a convertible loan with a principal sum of S$1 million from existing investor Teo Soon Seng. The loan can be converted into new ordinary shares at a conversion price of S$0.10 apiece, subject to adjustments.
The conversion price of S$0.10 is more than double the volume-weighted average price of S$0.0473 per share for trades done on Dec 23, the last market day before the conversion loan agreement was entered into, the company said in a regulatory filing on Monday night.
The maximum amount of accrued interest is S$100,000, and the maturity date for the loan is 12 months after the agreement's completion date - which will fall no later than three days after all conditions precedent have been fulfilled or waived.
The net proceeds of S$988,000 will be used for the company's business and investment opportunities. This includes expected expenses relating to the partial payment of a final instalment to be incurred in connection with the company's joint venture with Thailand-listed property developer Apex Development.
Some S$12,000 will be used for estimated expenses incurred in connection with the convertible loan.
Upon conversion, up to 10 million new shares are to be allotted and issued by the company to the investor Mr Teo, who holds a 0.24 per cent stake in the company as at Dec 23. He will then own 0.85 per cent of the company's enlarged share capital.
Mr Teo is a self-employed businessman in the business of information technology infrastructure in Singapore. The company added that he is investing in the company on an arm's length basis as a strategic investor.
Mercurius shares closed at S$0.049 on Monday, up 0.4 Singapore cent or 8.9 per cent.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Companies & Markets
Electrolux Q1 loss nearly triples on weak demand but beats expectations
DigitalBridge-backed Vantage said to weigh Hong Kong data centres sale
Vietnam delays launch of new stock trading system
Tesla’s plan for affordable cars takes page from Detroit rivals
Meituan to debut in Riyadh as expansion beyond China quickens
Mapletree Industrial Trust to distribute S$13 million of divestment gains over next 4 quarters