KUALA LUMPUR: A stock that once caught the eye of Tan Sri Quek Leng Chan, Scomi Energy Services Bhd looks set to be removed from the Main Market of Bursa Malaysia post-July 31, 2024.
SESB has until July 31 to submit its regularisation plan to the regulators.
The last of the once high-flying Scomi Group Bhd companies listed on the stock exchange, the company yesterday announced that it would not go ahead with a regularisation plan it proposed in January 2024 and had let go of its principal adviser.
Scomi Group holds an 8.33 per cent interest in the company.
The final nail in the coffin surely, for a company which has tried to make a comeback since it became classified as a Practice Note 17 company in 2020.
It was certainly not for want of trying, SESB disposed of its drilling business, its 48 per cent interest in Scomi KMC Sdn Bhd and 100 per cent interest in Scomi Oilfield Ltd, 25 per cent interest in Scomi Oiltools Gulf W.L.L. and 25 per cent interest in Continental Wire Cloth (Malaysia) Sdn Bhd, Dataran Prima Property and inventories and equipment to Oiltools International Sdn Bhd for RM21 million as part of its plans to start afresh.
Other disposals were also made to generate cash proceeds to repay the debt obligations owed to secured lenders.
This led to SESB no longer having any revenue-generating operations and becoming an investment holding company with a cleaner balance sheet.
It also managed to convince the regulators just a year ago that all it needed was time, just barely managing to avoid a delisting then.
Trading in its shares however was suspended after it failed to submit its regularisation plan on time to Bursa Securities.
In January this year, it announced a regularisation plan which involved diversification into the construction business and accepting an RM140.03 million contract from Dhaya Maju Infrastructure (Asia) Sdn Bhd (DMIA) for the construction and maintenance of the proposed upgrades to the Keretapi Tanah Melayu Bhd station and facilities under the Klang Valley Electrified Double Track Phase 2 project.
Scomi Energy also proposed a private placement of 35.125 million new shares, representing 60 per cent of its enlarged issued shares, at 22 sen per placement share to DMIA founder and executive director Datuk Seri Dr Subramaniam Pillai Sankaran Pillai.
Its final salvo seems to have fallen through.