mDR Limited Announces Significant Acquisition and Sale of Quoted Securities

Key Highlights

• Large transactions in quoted securities: mDR Limited (the “Company”) and its subsidiaries (the “Group”) have announced both the acquisition and disposal of quoted securities between 27 January 2026 and 05 March 2026.
• Acquisition Details: The Group acquired quoted securities worth approximately S\$11,857,485, which is equivalent to 8.0% of its latest audited net tangible assets.
• Disposal Details: The Group sold quoted securities valued at approximately S\$2,835,529 (based on historical cost), representing 1.9% of its latest audited consolidated net tangible assets.
• Impact on Balance Sheet:
  • Aggregate cost of quoted investments increased from S\$323,732,000 to S\$328,604,000.
  • The aggregate cost now stands at 221.4% of the latest audited consolidated net tangible assets, up from 218.1%.
  • Total market value of quoted investments rose from S\$233,228,000 to S\$241,231,000.
  • No provision for diminution in value of quoted investments was recorded.
• Reference Net Tangible Assets: Latest audited consolidated net tangible assets as at 31 December 2024 is S\$148,431,000.

Important Information for Shareholders

• The acquisitions and disposals are material transactions, with the acquisition amounting to 8.0% and the disposal to 1.9% of the Group’s net tangible assets. These figures are significant relative to the Group’s asset base.
• The proportion of quoted investments relative to net tangible assets is extremely high (over 221%), indicating that the Group’s balance sheet is heavily exposed to quoted securities.
• No provision for diminution in value suggests that the Group considers its quoted investments to be at or above cost, but this leaves shareholders exposed to market fluctuations.
• These transactions may impact the Group’s risk profile and could affect the share price, especially if there is volatility in the quoted securities market or if further disclosure reveals the nature of the investments.
• Shareholders should note that the timing and size of these transactions, as well as their aggregate value, may be price sensitive. Any further announcements relating to gains, losses, or strategic rationale could significantly influence investor sentiment.

Additional Details

• The report is made pursuant to Rule 704(17)(b) and Rule 704(18)(b) of the Singapore Exchange Securities Trading Limited Listing Manual. These rules require disclosure when acquisitions or disposals of quoted securities exceed certain thresholds relative to net tangible assets.
• The Company Secretary, Madan Mohan, issued the announcement on 09 March 2026.
• Investors should monitor subsequent disclosures regarding the investment portfolio, especially any further material changes, impairment provisions, or strategic shifts.

Potential Impact on Share Price

The substantial increase in the Group’s exposure to quoted securities, combined with the high ratio of quoted investments to net tangible assets, represents a significant change in risk profile. The lack of provision for diminution in value may be perceived positively if the market values are stable or rising, but could be a concern if the underlying investments are volatile. Given these factors, the news is potentially price sensitive and may influence investor decision-making.

Disclaimer

This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research and consult professional advisors before making any investment decisions. The information presented is based on publicly available disclosures and may be subject to further updates or clarifications from the Company.

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