SDAI Limited Announces Immediate Remedial Actions Following Special Audit Report and Receipt of Legal Advice

Key Announcement Highlights

• Receipt of Legal Recommendations: SDAI Limited’s Board has received formal legal advice from Covenant Chambers LLC in relation to the findings of the Phase 2 Special Audit Report.
• Immediate Remedial Actions: The company will issue letters of demand to relevant parties, seek explanations regarding audit findings, and pursue the recovery of any improper gains or excessive fees that may have been paid.
• Reporting to Authorities: SDAI Limited intends to report the relevant matters to Singapore’s Commercial Affairs Department and the Corrupt Practices Investigation Bureau for further investigation.
• Ongoing Share Suspension: The company’s shares have been suspended from trading on SGX-ST since 12 July 2021. There is no assurance of when, or if, trading will resume.

Details of the Announcement

SDAI Limited has taken a significant step in addressing the findings of its Phase 2 Special Audit Report by seeking and receiving legal recommendations from Covenant Chambers LLC, as of 22 January 2026. The legal advice has prompted the Board to take swift and decisive actions to remediate issues raised in the audit.

The company’s immediate plans include the issuance of formal letters of demand to certain parties implicated in the audit, requesting explanations for the findings. Where applicable, SDAI Limited will pursue the recovery of any improper gains and/or excessive fees that may have been disbursed as identified in the audit. These actions demonstrate the Board’s commitment to rectifying any past malpractices and safeguarding shareholder interests.

In addition to internal remedies, the company will report these matters to the appropriate authorities, namely the Commercial Affairs Department and the Corrupt Practices Investigation Bureau. This escalation signals the seriousness of the findings and the potential for criminal or regulatory investigations.

Shareholders should be aware that these developments could have material implications for the company’s financial standing and legal exposure. The outcome of investigations and the company’s efforts to recover losses or excessive payments may directly impact SDAI Limited’s balance sheet and, ultimately, the value of its shares.

Important Information for Shareholders

• Trading Suspension: The company’s shares remain suspended on SGX-ST since 12 July 2021. There is no assurance that trading will resume, even upon completion of remedial actions or investigations.
• Potential Price Sensitivity: The recovery of improper payments, findings from official investigations, or the resumption (or permanent suspension) of trading could all significantly impact share value, depending on the outcomes.
• Caution Advised: Shareholders and potential investors are strongly advised to refrain from taking any action regarding their securities that may prejudice their interests. In case of doubt, consult professional advisors such as stockbrokers, bank managers, solicitors, or accountants before making investment decisions.

Ongoing Communication

SDAI Limited has committed to making further announcements to update shareholders as and when appropriate, in accordance with Catalist Rules. Investors should monitor company disclosures closely for updates on the progress of remedial actions and outcomes of official investigations.

The announcement has been reviewed by the company’s sponsor, ZICO Capital Pte. Ltd., but not by the Singapore Exchange Securities Trading Limited, which assumes no responsibility for its content.

Executive Chairperson

This announcement was made under the authority of Mdm Hao Dongting, Executive Chairperson, on 23 January 2026.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors are advised to exercise caution and seek independent professional advice before making any investment decisions. The company’s shares are currently suspended from trading and there is no guarantee that trading will resume. The information herein is based on the latest company announcement and may be subject to further updates.

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