AA Group Holdings Ltd. (Catalist:5GZ) signed a memorandum of understanding to acquire Engineering Manufacturing Services (s) Pte Ltd from Poh Huat Heng Corporation Pte Ltd on January 6, 2017. As of January 23, 2017 AA Group Holdings Ltd. (Catalist:5GZ) entered into an agreement to acquire Engineering Manufacturing Services (s) Pte Ltd from Poh Huat Heng Corporation Pte Ltd for SGD 25 million. Pursuant to the agreement, AA Group Holdings Ltd. (Catalist:5GZ) agreed to acquire 6.5 million shares of AA Group Holdings Ltd. (Catalist:5GZ). Under the agreement, SGD 7 million out of consideration will be paid in cash within one month from completion, issuance of 3 years zero coupon bond by AA Group Holdings Ltd. (Catalist:5GZ) to Poh Huat Heng Corporation Pte Ltd equals to amount SGD 7 million and novation of AA Group Holdings Ltd. (Catalist:5GZ) of SGD 11 million debt owing by Poh Huat Heng Corporation Pte Ltd to Engineering Manufacturing Services (s) Pte Ltd . The transaction is subject to certain conditions including due diligence, board approvals from both companies, appointment of director by AA Group Holdings Ltd. (Catalist:5GZ) in the target company board, no suitor investigation having made by any authority against the target company, obtaining of written consent from United Overseas Bank Limited, execution of loan agreement for SGD 8 million between target company and Poh Huat Heng Corporation Pte Ltd. The completion of acquisition will take place within 21 business days after all the conditions being fulfilled. If the Sale Conditions have not been fulfilled or waived by mutual consent on or before May 31, 2017 the Agreement shall lapse and cease to have effect.