Update in relation to Sincere Acres Sdn Bhd
MobilityOne Limited has announced a further extension for the second tranche payment of RM28.0 million for its 49% acquisition of Sincere Acres Sdn Bhd, now due by 31 May 2026. As part of this agreement, MobilityOne will pay RM705,753.42 in accrued interest in three equal monthly instalments starting March 2026, and an additional RM1,400,000 in previously accrued interest will be paid by the same extended deadline. All other acquisition terms remain unchanged, with the outstanding second tranche payment continuing to accrue interest at 10% per annum.
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On 4 October 2023, the Company announced, amongst other matters, that MobilityOne Sdn Bhd ("M1 Malaysia"), the Group's wholly-owned operating subsidiary in Malaysia, had completed the acquisition of a 49% equity interest in Sincere for a cash consideration of RM30,000,000. It was further announced that whilst the first tranche, representing RM2.0 million, had been paid by M1 Malaysia to United Flagship Development Sdn Bhd (the "Vendor"), the second tranche, representing the balance of RM28.0 million (the "Second Tranche"), was required to be paid by M1 Malaysia by 8 March 2024 (the "Second Tranche Payment Date").
The Second Tranche Payment Date has been subject to several prior extensions, as announced by the Company most recently on 17 December 2026.
On 16 March 2026 the Vendor agreed with M1 Malaysia to further extend the Second Tranche Payment Date for payment of the Second Tranche plus accrued interest to 31 May 2026 (the "Extended Second Tranche Payment Date").
As part of this extension, M1 Malaysia has agreed to pay the Vendor in cash the accrued interest for the period from 1 March 2026 to 31 May 2026 totalling RM705,753.42 in three equal monthly instalments in March 2026, April 2026 and May 2026. A total of RM1,400,000 in accrued interest for the period from 9 March 2024 to 8 September 2024 remains outstanding and the parties have agreed as part of the extension that this will be paid by MobilityOne at a later date but in any event by no later than 31 May 2026.
In line with the Second Tranche payment terms, any payment made in relation to the Second Tranche will continue to be subject to an interest charge of 10% per annum.
All other terms of the acquisition of Sincere are expected to remain unchanged.
Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.