XMH

XMH: welcomes Credence Capital Fund II as a prospective new substantial shareholder. Credence has agreed to invest $10m, via subscription of up to 36.0m new shares at issue price of $0.2774 per new share. Net proceeds of $9.9m will be used primarily to fund the announced devt of the JTC Land (acquired this year), to construct new premises to accommodate new assembly and pdtn lines and increase general warehousing capacities. Simultaneously, Crecence has been granted a 3 mth call option by the co’s substantial sh/h, the founding Tan family, to acquire an aggregate 47.6m vendor shares of XMH at a pre-agreed price of $0.315 per vendor share. The new shares, together with the vendor shares will represent approx 19.9% of the total enlarged share base. Credence is a SE Asia Private Equity Fund, managed by Koh Boon Hwee, Tan Chow Boon, and Seow Kiat Wang. Recall Credence recently invested in Halcyon, which share price subsequently spiked up. At $0.29 last close, the stock trades at 12.1x P/E.