AsiaPhos Limited Extends Term Sheet for Proposed Acquisition of Exquisite Mode Sdn Bhd

Key Points for Investors

• AsiaPhos Limited is pursuing the acquisition of a 97.41% stake in Exquisite Mode Sdn Bhd from United Malayan Land Bhd.
• An extension has been agreed for the binding term sheet’s termination date, now set to 15 December 2025.
• The extension is due to ongoing negotiations; both parties remain committed to the acquisition.
• The finalisation of the deal is subject to the execution of Definitive Agreements which may contain significant conditions.
• There is no certainty that the acquisition will be completed.

Detailed Analysis

AsiaPhos Limited (together with its subsidiaries, the “Group”) has released an important update regarding its strategic move to acquire a significant stake in Exquisite Mode Sdn Bhd. The company, through a binding term sheet with United Malayan Land Bhd (the “Vendor”), seeks to purchase 97.41% of the issued and paid-up capital of the target company.

As per the initial terms, the transaction was to be completed with the execution of the Definitive Agreements within 90 days from the signing of the term sheet. However, as negotiations are still ongoing, both parties have mutually agreed to extend the automatic termination date of the term sheet to 15 December 2025. This extension demonstrates both sides’ continued interest and intention to proceed with the Proposed Acquisition.

It is crucial for shareholders to note that, aside from the revised termination date, all other terms and conditions of the term sheet remain unchanged and binding on both parties. This means that while the process is taking longer than originally anticipated, the framework of the deal is intact.

Price Sensitive Information for Shareholders

• Completion Uncertain: The Proposed Acquisition is still subject to the signing of the Definitive Agreements. There is no guarantee at this stage that these will be executed or that the transaction will be completed. This uncertainty can cause share price volatility given the size and potential impact of the acquisition.
• Material Developments to Follow: The company has indicated it will make further announcements as and when there are material developments regarding the Proposed Acquisition or related transactions. Investors should stay alert for these updates, as they could significantly affect the company’s valuation.
• Inspection of Key Documents: A copy of the Extension Letter is available for inspection at the company’s registered office for three months from the date of the announcement. This transparency allows investors and stakeholders to review the actual terms of the extension.

Important Notice to Shareholders

The company has issued a cautionary statement advising shareholders and potential investors to exercise caution when trading in the shares of AsiaPhos Limited. The completion of the Proposed Acquisition is conditional and not assured, and the outcome may materially affect the share price, either positively if completed or negatively if the deal falls through.

Contact and Further Information

For further inquiries, shareholders may contact the company’s sponsor, Evolve Capital Advisory Private Limited (Mr. Jerry Chua, Tel: +65 6241 6626). The company’s registered office for document inspection is at 1 Harbourfront Avenue #14-07 Keppel Bay Towers, Singapore 096632.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. The Proposed Acquisition is subject to further negotiations and the execution of definitive legal agreements. There is no assurance that the transaction will be completed. Investors are advised to exercise caution and consult their professional advisers before making any investment decisions based on this news.

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