Nutryfarm placed under judicial management

THE High Court of Singapore has granted an application to place Nutryfarm International : AZT 0% under judicial management, announced the company in a bourse filing on Tuesday (Jun 28).

Chan Yee Hong of liquidator Nexia TS Risk Advisory has been appointed as the company’s judicial manager.

The application for judicial management was filed by Nutryfarm’s creditor, Corpbond IV Ltd, on May 10 this year following a spate of legal events regarding Nutryfarm’s loans owed to Corpbond.

Both parties were previously in talks to potentially restructure third-party loans that amounted to some HK$126.9 million (S$21.9 million) as at Jun 30, 2021. The loans were then set to expire between March and November 2022.

In a Jan 20 response to Singapore Exchange queries this year, Nutryfarm said it had yet to reach any definitive agreement with Corpbond on a restructuring.

Its board also disclosed that pre-action discovery proceedings were commenced against the company on Dec 14, 2021, by an individual claiming to have provided funding for some loans that were later novated to Corpbond.

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Separately, Corpbond further issued letters of demand to Nutryfarm’s subsidiary LottVision and its corporate secretarial services provider, for the group to pay outstanding sums of S$3.9 million and US$271,849 that were due on Mar 31 this year. 

This money was part of the principal amount of a loan, as well as the interests accrued, that Nutryfarm took from Corpbond and Furong Investments in 2017.

Shares of Nutryfarm have been voluntarily suspended since Apr 11, 2022.