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(Sharecast News) - MobilityOne shares were surging on Tuesday, after it said shareholders of Technology & Telecommunication Acquisition Corporation had approved all resolutions required for its proposed combination with Super Apps, marking further progress toward the group's planned joint venture structure.
The AIM-traded company noted that a Form 8-K filing by TETE confirmed that all resolutions were passed at an extraordinary general meeting on 30 March, a key step in completing the transaction.
Under the previously-announced agreement, MobilityOne's wholly owned subsidiary M1 Malaysia was set to receive cash payments totalling MYR 60m, comprising MYR 40m (6.84m) within 14 days of completion and MYR 20m (3.42m) within 180 days.
The consideration related to the disposal of a 60% stake in its subsidiary OneShop Retail to Super Apps as part of the joint venture arrangement.
MobilityOne also guaranteed that OneShop would generate at least $125m in annual revenue in 2026, or another mutually agreed period.
As part of that commitment, the group said it would provide technical and business support to OneShop and carve out part of its existing electronic voucher business, including mobile airtime, PayTV vouchers and gaming credits, into the entity to help meet the target.
In addition to the cash consideration, Super Apps would arrange for TETE to issue shares to MobilityOne with an aggregate value of MYR 20m (3.42m) if the revenue target was achieved.
If the target was not met following completion of the business combination, MobilityOne would not receive the shares.
The company said completion of the disposal and associated payments remained subject to the consummation of the merger, with further updates to be provided as appropriate.
At 1148 BST, shares in MobilityOne were up 54.29% at 13.5p.
Reporting by Josh White for Sharecast.com.
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