RHM.L Regulatory News (RHM)

19 May 2015

Resource Holding Management Limited

("RHM" or the "Company")

Further Re: Disposal of Holding in PUCF

Further to the announcement made on 6 May 2015, the board of RHM (AIM:RHM) announces that the Company has, based on latest unaudited management accounts, total cash balances of approximately RM 15.41 million  (approximately £2.75 million*) available to be put towards the implementation of its investing policy and for general working capital purposes. This sum includes the net cash proceeds of RM 6.99 million (approximately £1.29 million) from the recent sale of 50,000,000 ordinary shares in PUC Founder (MSC) Berhad ("PUCF") on 5 May 2015 (the "PUCF Disposal").

Pursuant to the PUCF Disposal, RHM's wholly owned subsidiary, RedHot Media International Limited ("RHI") decreased its interest in PUCF to a holding of 493,168,402 ordinary shares in PUCF ("PUCF Shares"), representing 46.28% of PUCF's current issued share capital. Following the PUCF Disposal the Company was deemed to have divested of substantially all of its historic trading business under Rule 15 of the AIM Rules for Companies. Since 5 May 2015, the date on which RHM's holding was reduced to below 50% of the voting rights in PUCF and therefore not treated as a controlling shareholding in PUCF, RHM has been treated as an investing company as defined by the AIM Rules for Companies. The aforementioned total RHM cash balance figure of approximately RM 15.41 million (approximately £2.75 million*) does not include any cash balances that are held within PUCF and therefore not available to RHM.

The Company's circular published on 14 April 2015 made reference that it was estimated by the board of RHM, based on latest unaudited management accounts at that time, that as at 15 March 2015 the net cash available to the Company was approximately £3.47 million. This estimate took into account the Company's existing cash resources at that time but did not take account of cash that could be received from any future sales of PUCF Shares. RHI held 543,168,402 ordinary shares in PUCF at that point in time, which represented 51.09% of PUCF's then issued share capital and a controlling shareholding. Therefore, this figure of approximately £3.47 million included the cash balances then available to PUCF.

Subject to the prevailing level of market demand on the ACE Market of Bursa Malaysia Securities Berhad, RHM may have the opportunity to execute further sales of PUCF Shares, in order to provide further funds for the implementation of the Company's investing policy and for general working capital purposes. RHI is currently permitted to reduce its holding to 289,726,716 PUCF Shares. From 1 January 2016, RHM will be able to reduce further its holding to 144,863,359 PUCF Shares. After 1 January 2017, RHM will be released from any restrictions on the sale of PUCF Shares.

For further information please contact:

*Based on today's prevailing exchange rate of RM1:GBP0.178231