KUALA LUMPUR: Sarawak Cable Bhd (SCB) said it ended its resuscitation plan with Serendib Capital Ltd due to their inability to agree on an exclusive working relationship and delays in settling debts with creditors.
In a filing to Bursa Malaysia, SCB said this is also in line with the period and extended period agreed upon in the Memorandum of Agreement dated Dec 29, 2023.
"The company is of the view that the delay is against the best interest of the company, its creditors and shareholders," it said.
However, SCB noted that it had identified a strong alternative party which has expressed an interest in spearheading a resuscitation plan.
It added that the termination of the MoA would not have an impact on the company's Practice Note 17 (PN17) regularisation plan.
Serendib Capital emerged as a white knight for Sarawak Cable in December 2023.
Serendib Capital had prepared a RM250 million fund to restructure and settle outstanding debts with creditors, and also to inject capital into SCB to meet the increasing demand for infrastructure grid development and high voltage cables.
SCB was classified as a PN17 company in October 2022.
On May 2, Bursa Malaysia granted SCB a six-month extension, up to Sept 30, 2024, for the company to submit its regularisation plan.