PRACTICE Note 17 (PN17) company, Scomi Group Bhd, faces the risk of being delisted from the Main Market of Bursa Malaysia after it failed to make a RM8 million settlement to Malayan Banking Bhd (Maybank) by March 15, 2023.

Scomi said Bursa Securities had granted the company the extension of time until May 31 to submit its regularisation plan to the relevant regulatory authorities on condition that it makes good on the settlement with Maybank by the March 15 deadline.

“M&A Securities Sdn Bhd, on behalf of the board of directors of Scomi, wishes to announce that the company has not met the condition of Bursa Securities to repay the settlement sum by March 15, 2023,” it told Bursa Malaysia.

Scomi added that on March 15, 2023, had appealed for a further extension of time from Maybank to repay the settlement sum but was rejected by the bank on the same date. Maybank had, vide its letter dated March 13, 2023, granted Scomi an extension of time until March 29, 2023, to make the settlement.

“As at the date of this announcement, the board is currently deliberating on its next course of action,” Scomi said.

Additionally, Scomi said it has sought for an extension of time from Bursa Securities and is pending the decision from the market operator.

Scomi fell into PN17 status in December 2019 after its shareholders’ equity spread slipped below 25% of its issued share capital and its equity dropped below RM40 million based on its financial results for the quarter ended June 30, 2019. — TMR