Scomi Group Bhd surprised investors when it proposed to revise its current issued share capital reduction from RM224.96mil to RM3mil from the earlier RM40mil.
KUALA LUMPUR: Red Sena Bhd
, the first food and beverage special-purpose acquisition company (SPAC), has proposed to liquidate its business after failing to secure a qualifying acquisition (QA) within the permitted timeframe.
“The company was listed on Bursa Malaysia on Dec 10, 2015. The last day of the permitted timeframe for the company to complete the QA was on Dec 10, 2018,” Red Sena said in a filing with Bursa Malaysia.
On July 6, Red Sena announced that it has yet to enter into a conditional sale and purchase agreement for QA.
Taking into consideration the processes and approvals required to complete QA and the remianing time left, the board had deliberated and concluded that the company would not be able to complete a QA within the permitted timeframe,” Red Sena said.
Red Sena has proposed to appoint Onn Kien Hoe and Pauline Teh @ Pauline Teh Abdullah of Crowe Advisory Sdn Bhd (FKA Crowe Horwath Advisory Sdn Bhd) as liquidators,
The company said the liquidation distribution would be carried out in two tranches with the first to be distributed within 30 days from the commencement of the proposed member’s voluntary winding up. The second and final tranch will be distributed after final tax clearance from the Inland Revenue Board.
As at Dec 17, the cash trust assets and the non-cash trust assets stand at RM404.46mil and RM16.91mil respectively.
The proposals are subject to the approval of its shareholders being obtained at the company’s upcoming EGM on Jan 16, 2019.
“The company will apply to Bursa Securities for approval to suspend the trading of Red Sena shares from 9am to 5pm on the date of the EGM to avoid any share transfer from being rendered void,” Red Sena said in its circular to shareholders in relation to the proposed members’ voluntary winding up and proposed appointment of liquidators.
Red Sena raised proceeds of RM400mil from its initial public offering in December 2015. An estimated 92% or RM368mil from the total proceeds have been set aside for the purchase of a QA.
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