Sona shareholders reject QA

KUALA LUMPUR: Sona Petroleum Bhd's shareholders have voted against the purchase of its qualifying acquisition (QA), signifying the end of yet another potential special purpose acquisition company (SPAC). 

This was in spite of a proposed capital repayment plan by Sona to help sweeten the deal. 

At 12.30pm, Sona's warrants were down 16% to 2.5 sen while its underlying mother share was up 1 sen to 44 sen. 

Following the company's EGM on Tuesday, Sona director Datuk Mohamed Khadar Merican said the company has until July to consider its next course of action - or risk being delisted. 

"Unfortunately there were a lot of big shareholders that were in it for the yield and not the business," he said. 

Of the votes, 22.61% voted in favour of the QA, compared with the remaining 77.39% that voted against. 

Sona held its second EGM within a month today to obtain shareholders' approval to acquire the Stag Oilfield in Australia from Quadrant Northwest Pty Ltd and Santos Offshore Pty Ltd for US$25mil. 

Sona’s shareholders had on March 30 adjourned its EGM that was supposed to decide on its proposed QA.

Earlier this month, the company proposed a revised capital repayment to reward its shareholders should the QA be approved. 

For the deal to pass through, Sona needed to obtain the approval of shareholders representing at least 75% of its issued shares.

Another SPAC, Cliq Energy Bhd, announced in February that it would be liquidated after failing to secure its QA within its three-year time frame.