Mercurius Capital Investment Limited: Key Updates and Financial Status – October 2025

Overview

Mercurius Capital Investment Limited (“the Company” or “Mercurius”), together with its subsidiaries (“the Group”), has released a comprehensive monthly update for October 2025. The report covers ongoing negotiations with creditors, the status of key subsidiaries, audit progress for FY2023 and FY2024, future strategic directions, and a detailed snapshot of assets and liabilities as of 31 October 2025.

Key Points from the Report

• Creditor Negotiations: There are no new developments regarding the notice of demand from Songmart’s liquidator concerning stamp duty paid on behalf of the Company. The Company has not received any further correspondence relating to this issue or the liquidation of Songmart.
• Convertible Loans and Asia Assets Development Loan: All three convertible loans (due June 2025) and the Asia Assets Development Co. Ltd. loan (US\$460,000, due 3 July 2025) have not been repaid. However, the Company has reached a verbal understanding with the respective investors for a maturity extension until completion of the proposed RTO (Reverse Takeover).
• Status of Grand Bay Hotel Co., Ltd. (GBH): The planned liquidation of GBH is on hold. The Company is now exploring an alternative exit arrangement through a potential share buyback and capital reduction. Legal discussions are ongoing, with no final arrangement yet.
• Audit Status:
  • FY2023 audit remains incomplete due to outstanding audit fees, preventing the finalisation of financial statements and convening of the annual general meeting for FY2023.
  • FY2024 audit is also delayed, as it is contingent on the completion of the FY2023 audit. The AGM for FY2024 has not been convened.
  • The Company aims to complete both audits and AGMs as soon as possible but cannot confirm a timeline.
• Future Direction and Use of Funds:
  • The Company has received approval from SGX-ST to utilise THB 25 million (approx. S\$1 million) from the proposed GBH liquidation for working capital, subject to several conditions.
  • A key condition is the signing of a definitive agreement for the Company’s RTO plan by 31 December 2025. Failure to do so will require the Company to voluntarily seek delisting.
  • No additional material developments have been disclosed since the last updates in October and November 2025.
• Financial Position as of 31 October 2025:
  • Assets:
    • Cash and bank balances: S\$1,000
    • Trade and other receivables: S\$118,000
    • Total assets: S\$119,000 (excluding investment in joint venture)
  • Liabilities:
    • Trade and other payables: S\$2,910,000 (includes amounts owed to Directors for working capital advances)
    • Borrowings: S\$6,204,000
    • Total liabilities: S\$9,114,000
  • Net liabilities: S\$8,995,000 (excluding joint venture investment)
  • Joint Venture Investment: If included, investment is valued at S\$5,945,000, bringing total assets to S\$6,064,000 and reducing net liabilities to S\$3,050,000.
  • Cash Utilisation: The Company had an opening and closing cash balance of S\$1,000 in October 2025, with minimal bank charges.

Important Shareholder Information & Potential Price Sensitive Issues

• Extension of Loan Maturities: The Company’s ability to secure a verbal agreement to extend maturity dates for substantial loans is crucial. Failure to formalise and execute these extensions, especially tied to the uncertain RTO timeline, could significantly impact liquidity and solvency.
• Audit Delays: The continued delay in finalising the FY2023 and FY2024 audits, due to unpaid auditor fees, could erode investor confidence and present compliance risks, potentially affecting the Company’s listing status.
• RTO Condition for Working Capital: The approval to use S\$1 million from the GBH liquidation is conditional on signing a definitive RTO agreement by year-end. If missed, the Company faces the prospect of voluntary delisting, which would be highly detrimental to shareholder value.
• Financial Position: The Company remains in a net liability position, with liabilities far exceeding liquid assets. The only offset is the joint venture investment, the realisability and valuation of which remain uncertain.
• Ongoing Legal and Strategic Uncertainties: No material updates regarding Songmart’s liquidation or the alternative exit for GBH. Any negative developments in these areas could further stress the Company’s balance sheet.

Summary

Mercurius Capital Investment Limited remains in a precarious financial position, with unresolved audit issues, outstanding creditor demands, and a critical dependency on the successful execution of a reverse takeover by end-2025. The Company’s ability to secure additional working capital and avoid delisting is directly linked to its RTO progress. Shareholders should closely monitor further announcements, as any failure to meet these conditions or negative developments in creditor negotiations could have a significant negative impact on share value.

Disclaimer: This article is based on publicly released company information and is for informational purposes only. It does not constitute financial advice or an offer to buy or sell securities. Investors should perform their own due diligence and consult professional advisors before making investment decisions. The Company’s financial position is subject to significant uncertainty, and share prices may be highly volatile based on future developments.

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