KUALA LUMPUR: Yong Tai Bhd has asked Bursa Malaysia Securities for another six months to file its proposals for disposal of Courtyard by Marriott Melaka and private placement of new shares in the company, following a suit filed by Kerjaya Prospek Bhd against its unit.
Yong Tai announced in July 2024, it plans to dispose of its hotel for RM160 million and place out up to 30 per cent of the total number of shares in the company to raise funds.
In a filing to Bursa Malaysia Securities today, the company said it is asking for an extension up to March 29, 2025 for the company to submit the draft circular in relation to the proposals to the relevant regulatory authorities.
The company was required to submit the draft circular on or before Sept 30, 2024.
Last month, construction firm Kerjaya Prospek's unit sued Yong Tai's unit Apple 99 Development Sdn Bhd, over an alleged failure to pay an outstanding contract sum of RM105.14 million in relation to a project which included the Courtyard by Marriott Melaka.
In the suit Kerjaya Prospek is, among others, seeking a declaration that Apple 99 is in breach of a settlement agreement dated Feb 25, 2020 and the hotel sales and purchase agreement (SPA).
In 2016, Kerjaya Prospek won the RM213.75 million contract for the main building works of a proposed mixed development project known as "The Apple" in Melaka.
Yong Tai's share price closed unchanged at 24 sen, giving it a market capitalisation of RM102.9 million.