Corporate results: Konsortium Transnasional, TH Heavy Engineering, UEM Edgenta and Seacera Group

Auditor voices concerns over Konsortium Transnasional high debt  

Konsortium Transnasional Bhd independent auditors have expressed doubt over the company’s ability to continue operating as its current liabilities exceed current assets for financial year 2018. Messrs, Al Jafree Salihin Kuzaimi PLT stated the bus operator’s liabilities exceed assets, indicating a material uncertainty over Konsortium Transnasional’s ability to continue as a going concern. The auditors adeed the company’s ability to continue is contingent on it obtaining support from its penultimate holding company and the Land Public Transport Agency (APAD) as well as generating adequate cash flow and profit to meet debt obligations. In an exchange filing yesterday, Konsortium Transnasional noted it continues to engage with creditors to extend and convert its short term debts pending the completion of its turnaround while penultimate holding company continues to support the operations at the group and company level. The bus operator added it has two separate agreements with APAD for the provision of bus services which provide revenue to help service its current financial commitments. Konsortium Transnasional has also ceased the operations of loss-making subsidiaries and will continue to optimise cost and manage cash flows going forward.

 


TH Heavy unit files notice of arbitration 

TH Heavy Engineering Bhd’s wholly owned unit, TH Heavy Engineering Fabricators Sdn Bhd (THF), is seeking some RM112 million from Murphy Sarawak Oil Co Ltd through a notice of Arbitration filed on May 27, 2019. THF is seeking to invoke the arbitration clause for Murphy’s Sarawak SK311 Development Project (EPCC Contract), its exchange filing yesterday stated. The claim is for works on the topside Permas production for Murphy’s SK311 development project offshore Sarawak which was completed in Dec 8, 2014.

 


UEM Edgenta appoints new chairman  

UEM Edgenta Bhd has appointed Tan Sri Dr Azmil Khalili as chairman. He currently sits on the boards of UEM Sunrise Bhd, Reach Energy Bhd and ANIH Bhd and is the chairman of the Malaysia-Philippines Business Council, UEM Edgenta noted in a release yesterday. His succeeds Amir Hamzah Azizan who has been appointed President / CEO of Tenaga Nasional Bhd (TNB) on April 2, 2019. 

 


Seacera’s injunction to restrain EGM dismissed with costs

Seacera Group Bhd’s court action to void and nullify the EGM called by Datuk Tan Wei Lian and other shareholders was dismissed by the Kuala Lumpur High Court yesterday.  Tan and other shareholders had called for an EGM to be convened on May 15 to appoint six new directors while removing eight existing directors. Seacera alleged this contravened the Companies Act 2016 as it said the shareholders in question controlled only a 7.89% interest in the company despite claiming to hold at least 10%.  Four directors in Seacera have resigned their positions over the past few days amid the boardroom tussle. In an exchange filing yesterday, the company announced the resignations of non-executive directors Rasila Hamzah and Norhanum Nordin, both of whom cited personal reasons, effective yesterday. Rasila and Norhanum also stepped down as chairs of the risk and audit committees respectively. This comes shortly after the resignations of non-executive directors Datuk Seri Azizan Ahmad and Datuk Seri Abdul Azim Mohd Zabidi on Monday. Azizan, Abdul Azim and Rasila were all appointed to the board this year.