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Transcorp calls for trading halt amid possible going-concern issue
CATALIST-LISTED Transcorp Holdings on Friday afternoon requested a trading halt, pending the release of an announcement.
Its shares were up 120 per cent or 0.6 Singapore cent to 1.1 cents as at 3.58pm, after about 128,800 shares changed hands.
Before Friday, the company’s most recent bourse filings were made last week, relating to a possible going-concern issue and the resignation of its company secretary, Victor Lai, who was later appointed as an independent director.
Transcorp previously announced that it would have a going-concern issue if it did not manage to raise funds by the end of June.
On July 9, the company said it was in discussions with various groups of investors and had received a formal proposal from one group. The engagement with this group of investors was at “an advanced stage”, although no agreement had been executed yet, Transcorp said then.
Transcorp also noted on July 9 that it had spoken to professional services firms on its winding up process in the worst case scenario, to ensure an orderly liquidation in the event that Transcorp is not able to successfully raise funds.
The group needed to raise some S$1 million to pay its debts and liabilities by the end of June. It was also struggling to recover S$8.6 million in deposits paid to two entities owned by people with links to Transcorp.