KUCHING: Instacom Group Bhd is seeking shareholder approval for the appointment of a new auditor at an extraordinary general meeting (EGM) on Nov 1.
The company has proposed to appoint STYL Associates as its auditor for financial year ending Dec 31, 2013 following the resignation of Chong & Co on Aug 15.
STYL Associates was nominated by a substantial shareholder of the company, Ngu Sing Hieng.
“Messrs Chong & Co are resigning as they have not renewed their registration with the AOB (Audit Oversight Board) and hence is no longer eligible to act as auditor of the company.
“The company is not aware of any other matters that need to be brought to the attention of the shareholders,” said Instacom chief executive officer Anne Kung Soo Ching in a circular to the shareholders.
She said the company’s board of directors, having reviewed the fee and engagement proposal from STYL Associates, and in consultation with the audit committee, had determined that the proposal was reasonable and cost effective.
“The board and audit committee had considered the profile, adequacy of the resources and experience of Messrs STYL Associates and is of the opinion that it will be able to meet the audit obligations of the company in compliance with the listing requirements and provisions of the Companies Act, 1965.”
Meanwhile, Ngu, also Instacom executive director, has sold his entire holding of 51 million company warrants with the last disposal of two million units at 11.5 sen each on Oct 2, according to filing with Bursa Malaysia.
Ngu was allocated the free warrants last month on the basis of one bonus warrant for every two existing Instacom shares.
He has also significantly reduced his stake in the company to about 70.23 million shares from some 102 million shares since last month.
Ngu was part of a Sarawak group that took control of Bursa Malaysia ACE Market listed I-Power Bhd in a reverse takeover a year ago.
I-Power was renamed Instacom, which is an end-to-end solution provider for the telecommunication industry.
Instacom, which has nationwide operations, has almost all local telcos as its clients.