Nutraceutical Biotech Global Holdings Limited entered into a conditional share sale agreement to acquire LPL (Hui Zhou) Glove Co. Ltd. and Lifestyle Safety Products (Hui Zhou) Co. Ltd. from Rubberex Corporation (M) Berhad (KLSE:RUBEREX) for approximately HKD 130 million on December 31, 2018. The consideration will be paid in following part, the buyer shall pay HKD 55 million to Rubberex Corporation (M) Berhad on the date that is within thirty days after the date of the agreement or the date that is five business days after the approval by the shareholders of Rubberex Corporation (M) Berhad for the disposal and the buyer shall pay the balance of the consideration of HKD 80 million to Rubberex Corporation (M) Berhad at the completion date. Post completion, Rubberex Corporation (M) Berhad will no longer have any interest in LPL (Hui Zhou) Glove Co. Ltd. and Lifestyle Safety Products (Hui Zhou) Co. Ltd. The terms for the termination are if the condition of the announcement is satisfied on or before the date which falls thirty five business days after the date of the agreement or such other date as may be agreed by the buyer and the seller, but buyer does not notify the seller whether or not it is satisfied with the results of the preliminary due diligence on or before the longstop date, the agreement shall terminate on the longstop date and the buyer shall pay to the seller HKD 13.5 million, if the buyer fails to make payment to the seller of HKD 55 million on the requisite date, interest shall accrue thereon from the requisite date to the date of actual payment at the rate of 0.50% per month up to a maximum period of two months. Any interest accruing shall be immediately payable by the buyer on the next business day after demand. After the expiration of the two months, either party may terminate the agreement by giving a notice at least five business days to the other party, and upon expiration of such notice: (a) the buyer shall pay to the seller HKD 13.5 million as liquidated damages and (b) the buyer shall pay to the seller the requisite interests, if the approval of the shareholders of the seller for the disposals is not obtained by the longstop date, the seller shall pay to the buyer HKD 13.5 million and if after the first payment date but on or before the completion date, the buyer shall give notice to the seller that it has any claim against the seller from or in connection with the agreement, then the buyer withhold as security for payment of the claim from the second payment, an amount equal to 150% of the amount of such claim unless and until such claim is either agreed between the parties or is finally determined by a determination or award of any tribunal or expert. The transaction is subject to approval from the shareholders of Rubberex Corporation (M) Berhad and satisfaction of due diligence by the buyer. As of January 28, 2019, the extraordinary general meeting with respect to the transaction is to take place on February 19, 2019. The Board of Rubberex Corporation (M) Berhad recommended the shareholders to vote in favor of the transaction. The disposals are expected to be completed by the second half of 2019. The gross cash proceeds to be raised from the disposal is expected to be utilized for repayment of bank borrowings, capital expenditure and defray estimated expenses for the disposals. RHB Investment Bank Berhad acted as financial advisor for Rubberex Corporation (M) Berhad.