SGX gave the company one year to acquire new business.
NauticAWT Limited has one year to acquire new business or risk being delisted by the Singapore Exchange Securities Trading Limited after its status changed into a cash company.
The company no longer has a revenue-generating business after it sold its subsidiary, Nautec Group Pte. Ltd, last 11 December.
As a cash company, NauticAWT must place 90% of its cash and short-term securities, including existing cash balance and the consideration arising from the disposal undertaken by the company, in an account opened with and operated by an escrow agent which is part of any financial institution licensed and approved by the Monetary Authority of Singapore.
The amount that is placed in the Escrow Account cannot be drawn down until the completion of the acquisition of a business which is able to satisfy the SGX’s requirement for a new listing, except for payment of expenses incurred in a reverse takeover approved by shareholders and pro-rata distributions to shareholders.
The company must also provide a monthly valuation of its assets and utilisation of cash, and quarterly updates of its plans and milestones in obtaining a new business to the market via the SGXNET. The firm said it plans to apply to the SGX to maintain its listing status and to continue the trading
NauticAWT may apply to SGX-ST for a maximum of a six-month extension if it has already signed a definitive agreement for the acquisition of a new business. The acquisition must be completed within the six-month extension period.
NauticAWT also announced the resignation of John Gronbech as chief executive officer and executive director. The company said Gronbech will be “devoting his time to manage the company affairs of NGPL”.
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