Friday 29 Mar 2024
By
main news image

KUALA LUMPUR (Jan 15): Amtek Holdings Bhd, which has sold off its core business, has fallen into Practice Note 17 (PN17) status, after its shareholders' equity on a consolidated basis fell to below RM40 million and is not more than 25% of its issued and paid-up capital, based on its latest unaudited financial statements for the financial period ended Nov 30, 2017, it said.

Under the regulations, shareholders' equity of a listed entity must be above 25% of the issued and paid up capital of the issuer, and equal to RM40 million or more.

As at Nov 30, its share capital stood at RM69.13 million, while total shareholders' equity was at RM13.07 million.

It has also became an affected listed issuer under Chapter 8, Paragraph 8.03A(2)(a) of Bursa Malaysia's Main Market Listing Requirements, after it sold off its major business by terminating the licence agreements with Crocodile International Sdn Bhd and ceased the distribution and sale of men's apparel, and small leather goods businesses in Malaysia.

On Jan 11, Amtek announced its indirect wholly-owned subsidiary, Apparel International Sdn Bhd, had inked a conditional sale and purchase agreement to sell off its entire inventory, accessories and retail and fixed assets under the Crocodile brand.

The proposed disposal of RM8 million was expected to result in a RM2.2 million loss on disposal for Amtek.

The company said today it is required to regularise its condition within 12 months of the announcement, and announce within three months from today, on whether its regularisation plan will result in a significant change in its business direction or policy.

If it fails to comply with its obligations to regularise its condition, it will be suspended from trading six days after a notice is issued by Bursa, and de-listing procedures would be taken against the company.

"The company is looking into formulating a regularisation plan to address its PN17 status. The company will make the necessary announcement on the regularisation plan in due course," Amtek's filing read.

Shares in Amtek closed up 1 sen or 3.33% at 31 sen today, giving the group a market capitalisation of RM15.5 million.

 

      Print
      Text Size
      Share