Axington now a cash company, faces risk of being delisted

CATALIST-LISTED Axington Inc, the company linked to the Bellagraph Nova saga last year, is now a cash company and faces the risk of delisting if it does not acquire a new business within a year, the company said in an exchange filing on Tuesday after market close.

This comes after the company notified the Singapore Exchange Securities Trading (SGX-ST) on April 1 of its cash company status according to Catalist listing rules, given that it does not currently have any "revenue-generating business", according to the filing.

The company also noted that it has until Aug 30 to submit a resumption proposal, given that the trading of its shares had been suspended since Aug 31, 2020. A failure to do so would also result in delisting.

"The company wishes to remind shareholders that there is no assurance that the SGX-ST will resume the trading of the shares or that the company will be able to acquire a business that meets the SGX-ST's requirements for a new listing within the timeframe prescribed by the SGX-ST," said Axington.

Meanwhile, the company intends to hold its annual general meeting for the financial year ended Dec 31,2020 by July 22.

The Malaysia-incorporated company clarified that it is allowed to do so, according to rules set by the Labuan Financial Services Authority.

Formerly a professional-services group, Axington has been mired in difficulty after Singaporean businessmen and cousins Nelson Loh and Terence Loh, co-founders of Bellagraph Nova (BN) Group, bought out the firm in July.

The Loh cousins came under the spotlight for their business dealings after they announced plans to make a takeover bid for English football club Newcastle United. It was later revealed that BN Group's marketing materials had been doctored, among other inconsistencies.