KUALA LUMPUR, September 11, 2023 – The liquidator for Serba Dinamik Holdings Bhd (SDHB) has scheduled a meeting of contributories on October 10 to provide an update on the company’s liquidation status and consider the appointment of a Committee of Inspection (COI). Contributories are entities liable to assist in adding to the assets of companies undergoing winding-up procedures.
Victor Saw Seng Kee, appointed as the liquidator by the High Court on January 10, is overseeing the liquidation process. This follows the High Court’s decision to allow the winding-up petition against SDHB and three of its subsidiary companies, a decision that SDHB is currently appealing.
SDHB has also appealed to Bursa Malaysia Securities Bhd against its delisting, originally scheduled for August 28. This action was prompted by the company’s failure to secure a deadline extension for submitting its regularisation plan.
The financial troubles of SDHB began when it fell into the Practice Note 17 (PN17) status on January 6, 2022. Consequently, trading of its securities on Bursa Malaysia was suspended in December 2022 due to its failure to submit the 2022 annual report. The company’s external auditor had expressed a disclaimer of opinion over its audited financial statements for the 18-month period ending June 30, 2021.
Further complicating matters, SDHB faced penalties from the Securities Commission for submitting false information. In the financial year ending June 30, 2023 (FY2023), the company reported a net loss of RM1.3 billion, a significant increase from RM1.09 billion in the previous year. Additionally, its revenue plummeted by 70% to RM403.23 million, down from RM1.35 billion.