PETALING JAYA: Red Sena Bhd is in the process of being liquidated after it failed to complete its qualifying acquisition (QA) within the permitted timeframe.
The company, which is the first and the only food and beverage (F&B) special purpose acquisition company (SPAC), was listed on Bursa Securities on Dec 10, 2015. The last day of the permitted timeframe for the company to complete the QA was on Dec 10, 2018.
“The company will apply to Bursa Securities for approval to suspend the trading of Red Sena shares from 9am to 5pm on the date of the EGM to avoid any share transfer from being rendered void,” Red Sena said in its circular to shareholders in relation to the proposed members’ voluntary winding up and proposed appointment of liquidators.
The proposals are subject to the approval of its shareholders being obtained at the company’s forthcoming EGM on Jan 16, 2019.
Red Sena had attributed the failure to sign a sale and purchase agreement to factors such as uncertainties over deals and unrealistic valuation.
Red Sena raised RM400 million through the issuance of 800 million shares through its initial public offering in December 2015, of which RM368 million has been put into a cash trust account as required for SPACs.
At midday, Red Sena was unchanged at 49 sen with 7.35 million shares traded.