BEST World, after having trading put on hold for three years over the legality of its business model in China, has gotten approval from the frontline market regulator to resume trading - subject to conditions.
In a statement, the company said on Wednesday (Oct 5) it has received no objection from Singapore Exchange Regulation (SGX RegCo) on its resumption of trading proposal, provided that it satisfies these four requirements:
- Obtain an updated independent legal opinion on the legality of its beauty product sales and distribution business model in China within four months after its financial year-end on an annual basis and announcing the opinion on SGXNet. The audit committee is to consult SGX RegCo, should the committee assess that such legal opinion is no longer required;
- Announcing the committee's assessment of whether it is satisfied that the concerns raised on the legality of Best World's sales and distribution business model in China have been addressed and the bases for such an assessment;
- Making any changes to the directors' appointment would require SGX RegCo's prior approval for the next three years; and
- Announcing the directors' confirmation as to whether sufficient information has been disclosed to enable trading of Best World's shares to resume in a fair and orderly manner.
Best World's statement came after it had received an improved audit opinion from its independent auditor for its financial results for the fiscal year ended Dec 31, 2021, and having made two equal access off-market share buyback exercises.
Details of its trading resumption will be provided in further updates.