Link: https://links.sgx.com/1.0.0/corporate-announcements/OLCAY1TYPYMTU83M/ed29010069cb2acbd99b7b8c068951e0bb2a29cd9f5c4c49d39c0745dd042b0c

Summary:

• XMH Holdings signed a sale and purchase agreement on 15 September 2025 to sell 2,072,000 shares (14.8% stake) in Mech-Power Generator Pte Ltd (MPG) to Mitsubishi Heavy Industries Engine System Asia Pte. Ltd. (MHIESA) for S$12,333,333, with adjustments based on net indebtedness and working capital at completion.

• Post-transaction, Mech-Power remains a subsidiary of XMH; the sale will yield a gain of S$10 million over the book value for XMH.

• The transaction is subject to due diligence, regulatory/third-party consents, and other standard completion conditions; no independent valuation was commissioned.

• Proceeds will be used for the Group’s working capital; raises NTA per share from 65.3 to 74.4 Singapore cents.

• Partnership with MHIESA aims for operational and strategic synergies, capacity expansion, and enhanced market reach for Mech-Power, leveraging MHIESA's business network.

• The deal is classified as a “disclosable transaction” (not requiring shareholder approval); completion is expected within 90 days pending conditions precedent.

• No directors or substantial shareholders have interests in the transaction apart from their shareholdings. Shareholders advised to exercise caution as completion is not assured.