12th Mar 2020 14:44
(Alliance News) - Walcom Group Ltd on Thursday said it may cease to operate in less than two weeks if it doesn't receive the loan promised by Chief Executive Francis Chi.
The Shanghai-based investment company said that in the absence of the HKD1.2 million loan - around GBP119,346 - from Chi by March 23, it may be unable to continue operations.
In mid-January, Walcom said it had secured an agreement with Chi for him to provide a loan to subsidiary Walcom Bio-Chemicals Industrial Ltd. However, in February, it said it had not yet received the loan. At the time, it said it had until last Friday to receive the loan or be forced into liquidation.
On Thursday, the investment company said Chi expects to be able to provide the loan by next Wednesday.
However, it added: "In the absence of the loan being received in part or in full by March 23, the company may be unable to continue its operations and would be forced into liquidation with a consequential diminution in value to shareholders."
The stock was untraded on Thursday afternoon in London, last quoted at 0.20 pence each.
By Ife Taiwo; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
WALG.L