PETALING JAYA: Metronic Global Bhd’s major shareholder Tan Sri Lee Kim Yew (pix) has called for a special audit to be carried out by independent auditors.
In a press statement today, Lee said he had instructed his solicitors on September 30 to write to the board of directors to request that the special audit be undertaken on its recent ESOS option, a joint venture, a proposed private placement and on the cash flow position of the group.
The statement also said Metronic had replied to Lee on October 7, and said a board meeting will be held tomorrow. The group said it would respond to Lee on the same day with the outcome of the meeting.
Lee holds a 29.01% stake in the group.
On August 7, Metronic Engineering Sdn Bhd, a wholly-owned unit of Metronic Global entered into a joint venture agreement with Zhuhai Singyes New Materials Technology Co Ltd to develop smart city solutions in Malaysia.
Metronic Engineering would provide RM20 million in capital for the project, while Zhuhai Singyes would provide the technical know-how for new technological solutions.
The joint venture would be on an 80:20 basis for Metronic Engineering and Zhuhai Singyes respectively.
Then on August 8, the group announced a private placement of up to 10% of the total number of issued shares of the company to raise up to RM9.4 million to fund smart city solutions.
As for the group’s cash position for its financial year ended June 30, 2019, Metronic Global had RM58.78 million in cash and cash equivalents. However, there is no comparison available as the group changed its financial year end in the preceding period.
