Cordlife acquires additional 11.89% interest in Stemlife Berhad for S$7m

Increases total shareholding to 31.81%.

The board of directors of the Cordlife Group Limited (Cordlife) wishes to announce that the Company has on 6 December 2013 increased its shareholding in StemLife by acquiring from various shareholders of Stemlife an additional 29,440,880 ordinary shares of par value RM0.10 each, representing approximately 11.89% of the issued and paid-up share capital of Stemlife.

Following the additional acquisition, the initial vendors no longer hold any shares in StemLife and the Cordlife will hold an aggregate of 78,742,880 Shares representing approximately 31.81% of the issued and paid-up share capital of Stemlife.

The aggregate consideration for the additional acquisition is RM17,664,528 (which is equivalent to approximately S$7,004,000 based on an exchange rate of S$1 : RM2.522) and is based on an agreed price of RM0.60 per Share, being the same agreed price per share for the initial acquisition.

The consideration was arrived at after negotiation on an arm's length basis and on a willing-buyer willing-seller basis taking into account, amongst other factors, the aggregate net tangible asset value of StemLife of approximately RM33.17 million, and StemLife's cash balance of RM73.74 million and deferred income from operations of RM58.69 million as at 30 September 2013.

StemLife also generated cash from operating activities of RM6.52 million for the nine (9) months ended 30 September 2013. The aggregate market value of the additional sale shares is RM11,944,165, based on the volume weighted average price of the Shares traded on the ACE Market of Bursa Malaysia Securities Berhad on 6 December 2013, being RM0.4057 per Share.