Dolomite to be delisted on April 28 after getting winding-up order

KUALA LUMPUR (April 25): Dolomite Corporation Bhd will be delisted from Bursa Malaysia on Friday (April 28) after the company was ordered by the High Court to wind up due to its failure to repay US$38.19 million (RM177.38 million) of debt in October 2022.

“The entire issued share capital of Dolomite will be removed from the official list of Bursa Securities,” the company said in a filing on Tuesday.

Dolomite was sued by Maybank International's Labuan branch over the debt in September 2020, and the court gave the company until Oct 4 to settle the outstanding amount or be wound up.

The debt is in relation to a term loan facility granted by Maybank to Dolomite Power-Shandong (HK) Ltd, a wholly owned subsidiary of Dolomite Technology (HK) Ltd, which in turn is a wholly owned unit of Dolomite.

Dolomite, which is involved in property development, construction and sand mining activities, fell into Practice Note 17 status in May 2021 after its external auditor Baker Tilly Monteiro Heng PLT expressed a disclaimer of opinion on the group's financial statements for the year ended Dec 31, 2020 as it was unable to obtain sufficient appropriate audit evidence to provide a basis for an audit opinion.

The High Court on Oct 4 appointed Datuk Adam Primus as its liquidator. On Nov 2, the liquidator said there are no plans to formulate a regularisation plan.

On Jan 20, 2021, the Court of Appeal made a landmark decision that a listed company must be delisted once it has been served with a winding-up order.

The appeals court made the ruling when dismissing an appeal against the decision handed down by the High Court in a suit brought by Bursa Malaysia against Mohd Afrizan Husain as liquidator for Wintoni Group Bhd.