S i2i secures additional 12-month extension to exit SGX watch list

IT services firm S i2i on Wednesday said it has been granted a 12-month extension by the Singapore Exchange (SGX) to meet watch-list exit requirements. It will now have until March, 3 2019 to get itself out of the watchlist or risk delisting.

The company said it is "fully committed" to fulfilling the financial exit criteria, noting that for one thing, its Indonesian business for the distribution of operator products is "stable and growing".

S i2i was placed on SGX's watch list in 2015 for posting three straight years of losses and having a market capitalisation that fell below S$40 million. To get off the watch list, it must record a pre-tax profit for the latest financial year and maintain an average daily market capitalisation of at least S$40 million over the last six months.

The company recorded a consolidated pre-tax profit of about S$1.64 million for fiscal 2016, as compared to a consolidated pre-tax profit of some S$660,000 a year ago. It also posted a consolidated pre-tax profit of about S$1.2 million for the nine-months period ended Sept 30, 2017.

S i2i's average daily market value, however, was about S$38.8 million for the period between Aug 3, 2017 and Dec 14, 2017. The company's share price has been in the range of S$2.50 to S$3.10 for the last 60 days prior to the date of the extension application.

The latest extension is the second 12-month reprieve granted to S i2i since it landed on the watch list.