Alpha DX receives S$1.9m letter of demand from vendor
LEARNING solutions company Alpha DX Group VVL has received a Feb 18 letter of demand for S$1.9 million from Kydon Holdings.
Then known as Alpha Energy, the group first agreed to acquire Kydon Learning Systems Institute (KLSI) from Kydon in 2020, for S$12 million in cash and stock. KLSI has since been renamed to Zionext, and is now a wholly-owned subsidiary of Alpha DX.
Kydon's claim of S$1.9 million is for the remaining consideration and interest charges paid for the acquisition.
In a regulatory filing on Friday (Feb 25), Alpha DX said the letter was first brought to its board's attention on Feb 23. Should the group fail to pay the outstanding sum by Feb 28, Kydon intends to commence legal proceedings against Alpha DX and hold it liable for all costs incurred.
Alpha DX said it is currently in negotiations with Kydon regarding the outstanding sum.
"The company is assessing the basis and merits of the claims and will take appropriate action accordingly," it said, adding that it will make further announcements on material developments as necessary.
Its shares ended Thursday flat at S$0.153.
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