Thursday 28 Mar 2024
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This article first appeared in The Edge Financial Daily, on November 24, 2015.

 

KUALA LUMPUR: Biosis Group Bhd has filed an injunction application in the Kuala Lumpur High Court to restrain Bursa Securities from delisting its securities from the local exchange yesterday.

Last Wednesday, the regulator dismissed the personal care products manufacturer’s appeal against the rejection of its proposed regularisation plan and delisting from the Main Market.

Bursa said upon the delisting, Biosis would exist as an unlisted entity and can continue its operations and business. It can also proceed with its restructuring, while shareholders can still be rewarded by its performance.

“However, shareholders will be holding shares which are no longer quoted and traded on Bursa,” it added.

Biosis was classified as a Practice Note 17 company on June 26, 2013, after its shareholders’ equity fell below 50% or less of its issued capital for the financial year ended March 31, 2013 (FY13).

On June 6, 2014, Biosis proposed a regularisation plan that included a capital reduction, a private placement, schemes of arrangement with creditors and a rights issue with warrants.

However, the plan was rejected by Bursa on June 3; it pointed out that Biosis continued to rely on its existing business to turn around, and noted that Biosis had registered continuing losses for the past six financial years. Trading of its securities was subsequently suspended from June 10.

In a separate filing yesterday, Biosis announced that its executive director Jamaludin Elis had resigned from the company effective last Friday, citing “personal reasons”. Jamaludin, 50, was appointed to the role on June 1 this year.

In Biosis’s FY15 annual report, Jamaludin was said to be the one to “spearhead Biosis’s expansion in the healthcare industry through his expertise and networking”.

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