DEBAO Property Development will be delisted from the Singapore Exchange (SGX) after it failed to submit a proposal to resume the trading of its shares within the stipulated time.

Debao said it received a notification of delisting on Wednesday (Mar 2) from SGX Securities Trading (SGX-ST).

Trading in Debao's shares have been suspended since January 2021. The company announced that month that its auditor issued a disclaimer of opinion on its FY2019 financial statements, highlighting material uncertainties that may cast significant doubt on the company's ability to continue as a going concern.

Debao was unable to demonstrate to SGX and its shareholders that it may continue as a going concern, and requested for a trading suspension as required by listing rules.

The company needed to submit the proposal to SGX within 12 months of the date of suspension to avoid a delisting, but has not done so.

Under listing rules, Debao or its controlling shareholders must provide a fair and reasonable exit to shareholders. It has to inform SGX of its exit offer proposal no later than one month from the date of the issue of the delisting notice.

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