Matex International Receives Letter of Demand from Former Executives Over Settlement Payments
Key Highlights for Investors
- Matex International Limited has received a formal Letter of Demand from lawyers representing Dr Tan Pang Kee and Mr Tan Guan Liang, both of whom are former executives.
- The dispute centers on Cessation Payments owed under a Settlement Agreement dated 14 September 2025.
- The Letter of Demand requires Matex to pay the outstanding amounts by 18 November 2025, or face legal action.
- The company has engaged legal counsel to respond to the demand and has referred the claimants to previous company announcements addressing this issue.
- Further updates will be communicated to shareholders as necessary.
Detailed Report
On 11 November 2025, Matex International Limited (“the Company”) announced that it had received a Letter of Demand from the legal representatives of Dr Tan Pang Kee and Mr Tan Guan Liang. This development arises from a dispute over Cessation Payments that were to be made to Dr Tan and Mr Tan under a Settlement Agreement signed on 14 September 2025.
According to the Letter of Demand, Matex International is required to make the outstanding payments to the former executives within seven days of the notice—specifically, by 18 November 2025. The letter also makes clear that if the company fails to comply, Dr Tan and Mr Tan intend to commence legal proceedings against Matex International.
The company’s board, led by Executive Director Dr Liu Shen, has confirmed that it is taking the matter seriously. Legal advisors have been instructed to respond formally to the Letter of Demand, and Dr Tan and Mr Tan have been referred to the company’s public announcements dated 13 October 2025 and 3 November 2025, which presumably detail the company’s position or actions regarding the payments.
The outcome of this dispute could have significant financial implications for Matex International. Should the company be required to make the payments or face court-ordered damages, this could directly impact its cash flows and profitability. Furthermore, the risk of litigation may create uncertainty that could affect investor sentiment and share price volatility.
The company has promised to update shareholders as new developments arise, emphasizing its commitment to transparency during this potentially price-sensitive situation.
Regulatory and Sponsor Disclosure
This announcement was reviewed by the company’s sponsor, ZICO Capital Pte. Ltd. However, it has not been examined or approved by the Singapore Exchange Securities Trading Limited (SGX-ST), which assumes no responsibility for its contents. Investors with questions may contact Ms. Goh Mei Xian at ZICO Capital, Singapore.
Implications for Shareholders
- Legal Risk: The threat of legal action from former executives poses a potential financial liability for the company.
- Financial Impact: The outcome may affect the company’s cash position and future earnings.
- Share Price Volatility: Market participants may react to this uncertainty, leading to share price fluctuations.
- Ongoing Updates: Shareholders should monitor company announcements closely for material developments.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research and consult with their financial advisors before making investment decisions. The author and publisher are not responsible for any losses arising from reliance on the information provided above.
