TrickleStar Limited, a Singapore-incorporated company, has unveiled a renounceable non-underwritten rights issue that could have significant implications for existing and prospective investors. This move involves the issuance of up to 67,426,073 Rights Shares at an issue price of S\$0.015 per share. The rights issue will be conducted on the basis of four (4) Rights Shares for every five (5) existing shares held by shareholders on the record date. Here’s everything you need to know about the announcement:

Key Details of the Rights Issue

• The record date for determining shareholder eligibility is 21 January 2025 at 5:00 p.m. Singapore time.
• The shares will trade on a “cum-rights” basis until 5:00 p.m. on 17 January 2025. From 9:00 a.m. on 20 January 2025, the shares will trade on an “ex-rights” basis, meaning buyers after this point will not be entitled to the provisional allotment of Rights Shares.
• The issue price of S\$0.015 per Rights Share represents an opportunity for existing shareholders to acquire additional shares at a discount, potentially increasing their holdings at a lower cost.

Who Can Participate?

Entitled Shareholders

Shareholders eligible to participate include:

• Entitled Depositors: Shareholders whose securities accounts with the Central Depository (CDP) are credited with shares as of the record date and have registered addresses in Singapore. Those with overseas addresses must provide a local Singapore address to CDP at least three market days before the record date.
• Entitled Scripholders: Shareholders holding physical share certificates must submit their documents to Tricor Barbinder Share Registration Services by 5:00 p.m. on the record date to qualify.

Supplementary Retirement Scheme (SRS) Investors

SRS investors may accept Rights Shares or apply for excess shares using funds in their SRS accounts. However, they must ensure sufficient funds are available in their accounts and adhere to deadlines set by their approved banks to process applications. Direct applications to CDP, the company, or other entities will be rejected.

Foreign Shareholders

Shareholders with overseas addresses who fail to provide a Singapore address by the required deadline are deemed “Foreign Shareholders” and will not be eligible to participate. Any provisional allotments to Foreign Shareholders will be sold “nil-paid” on the SGX-ST, with net proceeds handled as per the Offer Information Statement.

Potential Implications for Shareholders

This rights issue presents an opportunity for shareholders to increase their stake in the company at a discounted price. However, the success of the issue remains uncertain, and shareholders are advised to exercise caution. The company has emphasized that the terms of the rights issue may be subject to change, and there is no guarantee of its completion. This uncertainty could impact market sentiment and, consequently, the company’s share price.

Next Steps and Cautionary Note

• The Offer Information Statement, which will provide detailed instructions and terms, will be electronically disseminated to entitled shareholders in due course.
• Further updates will be provided through subsequent announcements by TrickleStar Limited.

Shareholders are urged to read all updates carefully and consult financial, tax, legal, or other professional advisers if in doubt about their course of action.