The information contained within this
announcement is deemed by the Company to constitute inside
information as stipulated under the Market Abuse Regulations (EU)
No. 596/2014 ("MAR").
6 March
2020
WALCOM GROUP LIMITED
(“Walcom” or “the Company”)
Company Update
The Board of Walcom provides an update on the Company’s working
capital position.
Mr Francis Chi, Chief Executive
Officer of the Company, has re-iterated his intention to provide a
loan of HK$1,230,000 to Walcom
Bio-Chemicals Industrial Limited, Walcom’s wholly owned subsidiary
and expects to be able to do so by 15 March
2020.
The Company continues to receive customer orders which is
benefitting its working capital position. In addition, the
previously announced actions the Company has taken in relation to
the deferral in part of rent, salary and other expenses have been
beneficial. The Company is taking further actions in this regard,
wherein its key subsidiary in Shanghai is making applications to the local
authority for deferral of social security payments, as well as
exploring other financial incentives and measures announced by the
Shanghai government to mitigate
the impact of COVID-19 on businesses.
As a result, the Board now believes that, in the absence of the
loan being received in part or in full by 16
March 2020, the Company may be unable to continue its
operations and would be forced into liquidation with a
consequential diminution in value to shareholders.
Further announcements will be made in due course.
Further enquiries:
Walcom Group Limited
Francis Chi (Chief Executive Officer/Chief Financial Officer)
|
+852 2494 0133 |
Allenby Capital Limited (Nominated Adviser and
broker)
David Hart / Asha Chotai |
+44 20 3328 5656 |