V2Y Corporation: Board Turmoil, Outstanding Receivables, and Lifeline Loans Signal Critical Turning Point

Key Points Investors Must Not Miss

• Board Reconstitution and Access Issues: The new board only recently regained access to the company’s registered office and records, following boardroom changes and legal assistance.
• Executive Chairman Appointment: Mr Lang Jinjun has been formally appointed as Interim Executive Chairman, bringing experience in renewable energy and a professional network that could open new business opportunities.
• Outstanding Disposal Receivables: Significant sums from previously disposed subsidiaries have yet to be collected, with at least S\$450,000 in tranches potentially outstanding as of the report date.
• Financial Controller Resignation: The recent resignation of Ms Nguyen Thi Hong Nhuan, the Group Financial Controller, was due to unpaid salary and occurred during the previous board’s tenure. Concerns about internal controls and governance were raised in her exit interview.
• Investigation into Whistleblowing Complaint: The investigation into allegations against former Non-Independent, Non-Executive Director Mr Felix Ang is stalled due to non-cooperation from the previous board, leaving the timeline for resolution uncertain.
• Liquidity Crisis and Lifeline Loans: The company is facing a liquidity crunch, has overdue salaries and debts, and is now relying on a S\$20 million loan facility from Mr Lang (including S\$1 million already received interest-free) to maintain operations and fund new initiatives.
• Going Concern Status: Both the board and sponsor have assessed that V2Y can continue as a going concern if planned funding and capital-raising efforts succeed, but this is contingent on timely execution and collection of outstanding amounts.
• Potential Resumption of Trading: V2Y aims to resume trading of its shares pending financial stabilization and further announcements on its commercial direction.

In-Depth Analysis of Recent Developments

1. Boardroom Shake-Up and Corporate Access

In the wake of significant boardroom changes, V2Y Corporation’s new board—through legal counsel and the landlord—has regained access to the company’s Singapore office. However, the company’s official registered address remains with its former company secretary (Aquinas Law LLP), and the board is actively retrieving vital company records. This transition phase is critical, as any delays or missing records could impact operational continuity and financial reporting integrity.

2. Executive Chairman Appointment: Mr Lang Steps In

Mr Lang Jinjun, with a background in renewable energy, has been re-designated as Interim Executive Chairman. The Nominating Committee (excluding Mr Lang) believes his leadership and network are vital in stabilizing the company and sourcing new business opportunities during this period of uncertainty.

3. Outstanding Receivables from Subsidiary Disposal

The company disclosed that several tranches from the disposal of indirect subsidiaries remain unpaid. Specifically, Hao Xiang Enterprise owes three tranches of S\$100,000 each (due by May, July, and November 2025), and Specialty Tradition Foodhub owes S\$50,000 (June 2025) and S\$100,000 (September 2025). The board is still determining if any payments have been received to date and is actively seeking to collect all outstanding sums. Failure to collect could impair liquidity and affect the company’s ability to meet obligations.

4. Whistleblowing Investigation: Deadlocked

An ongoing investigation into allegations against former director Mr Felix Ang is hampered by the previous board’s refusal to provide documents. Mr Ang, despite cooperating, has not been given the opportunity to respond to the allegations. An ad hoc sub-committee has been formed to pursue the investigation, but without the relevant documents, a timeline for completion is indeterminate.

5. Finance Function Disruption and Staff Turnover

The recent resignation of Group Financial Controller Ms Nguyen, attributed to unpaid salary, occurred during the previous board’s tenure. In her exit interview, she cited the need for improvements in internal controls and governance but was unable to specify details. She indicated willingness to assist the new board upon settlement of outstanding salary. In the interim, Mr Lang is personally overseeing the finance function and is seeking to recruit new staff to restore normalcy.

6. Funding Crisis and Emergency Loans

Facing a cash crunch with overdue salaries and debts, V2Y has secured a S\$20 million loan facility from Mr Lang, including a S\$1 million bridging loan already received on an interest-free basis. These funds are earmarked for working capital, debt repayment, and investigations. The board is also planning further fundraising once the trading suspension is lifted and is considering new business ventures to boost revenue.

7. Going Concern Status: Conditional and Uncertain

Despite the severe challenges, both the board and the company’s sponsor (Evolve Capital Advisory) believe V2Y can continue as a going concern—provided that funding plans are implemented and outstanding receivables are collected. The sponsor underscores that the F&B business disposal will not negatively affect the company’s financial position going forward. However, the success of these measures is not guaranteed, and ongoing oversight will be maintained.

8. Potential Resumption of Trading

V2Y plans to apply for a resumption of trading of its shares once its financial situation stabilizes and a clearer commercial direction is established. Investors should closely monitor upcoming announcements for further details on funding, business plans, and the outcome of ongoing investigations.

What Shareholders Should Watch

• Collection of Outstanding Receivables: Non-payment could severely impact cash flow and operations.
• Progress in Fundraising and Capital Injection: Failure to secure additional funds would be detrimental to the company’s survival.
• Resolution of Internal Investigations: Unresolved whistleblowing allegations and lack of transparency may affect market confidence.
• Restoration of Finance Function: Timely appointment of finance professionals is urgent to maintain effective internal controls and reporting.
• Announcements on New Business Ventures: Any major pivot or acquisition could significantly affect the company’s valuation and share price.
• Timeline for Trading Resumption: The timing and conditions for lifting the trading suspension will be crucial for liquidity and valuation.

Conclusion

V2Y Corporation is at a critical crossroads, facing multiple operational, financial, and governance challenges. The company’s ability to stabilize, secure funding, and restore confidence will determine its future and the fate of its shareholders. All eyes should remain on upcoming disclosures regarding funding, receivables collection, finance function restoration, and investigation outcomes, as these will be highly price-sensitive and could dictate the next major move in V2Y’s share price.

Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Investors should conduct their own due diligence and consult professional advisors before making any investment decisions. The author and publisher accept no liability for losses arising from reliance on this information.

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