6th Mar 2020 10:54
(Alliance News) - Walcom Group Ltd said Friday that it expects Chief Executive Officer Francis Chi to provide its HKD1.2 million loan, around GBP121,858, to the animal feed additives firm's subsidiary Walcom Bio-Chemicals Industrial Ltd by March 15.
In the meantime, the company said it has continued to receive customer orders which is benefiting its working capital position.
In addition, Walcom is taking several actions in the deferral of rent salary and other regards, including its Shanghai subsidiary applying to the local authority for the deferral of social security payments.
"As a result, the board now believes that, in the absence of the loan being received in part or in full by March 16, 2020, the company may be unable to continue its operations and would be forced into liquidation with a consequential diminution in value to shareholders," Walcom stated.
Shares in Walcom were untraded on Friday, last quoted at 0.30 pence in London.
By Dayo Laniyan; [email protected]
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