TA Corporation Ltd. Provides Key Update on Debt Restructuring and Resumption Conditions

Overview

TA Corporation Ltd. (“the Company”), together with its subsidiaries (“the Group”), has released a significant monthly update that is highly relevant to shareholders and investors. The update includes crucial developments regarding its ongoing debt restructuring process and progress towards resuming trading on the Singapore Exchange (SGX-ST).

Key Highlights of the Announcement

• Debt Restructuring Plan Completed: The Company has successfully completed its Debt Restructuring Plan. This is a major milestone in its recovery process and directly impacts the Group’s financial stability and future operations.
• Fulfilment of Resumption Condition: With the completion of the debt restructuring, one of the key Resumption Conditions—specifically, condition 2.1(vi) as outlined in prior announcements—has now been fulfilled. This brings the Company closer to lifting the voluntary suspension of trading in its shares.
• Remaining Resumption Conditions: The Company has outlined several remaining steps required before trading can resume:
  1. Disclosure of the Board’s opinion on the Group’s ability to continue operating as a going concern, and the bases for this opinion.
  2. Obtaining shareholders’ approval for the allotment and issuance of TAC Conversion Shares (either through a general share issue mandate or specific shareholder approval).
  3. Securing SGX RegCo’s approval for the listing and quotation of TAC Conversion Shares on the Mainboard of SGX-ST.
  4. Obtaining shareholders’ approval for the allotment and issuance of TAR Conversion Shares.
  5. Securing SGX RegCo’s approval for the listing and quotation of TAR Conversion Shares on the Mainboard of SGX-ST.
• Trading Suspension Status: The Company’s securities have been voluntarily suspended from trading since 17 July 2023. The progress towards meeting the remaining Resumption Conditions is pivotal for the potential resumption of trading, which could materially affect share prices.

Potential Price-Sensitive Developments

The completion of the Debt Restructuring Plan is a major development that could positively impact investor sentiment and potentially the share price when trading resumes. Furthermore, the fulfilment of the remaining Resumption Conditions, particularly the Board’s opinion on going concern and the approvals for new share issuances, are critical events that shareholders need to monitor closely. The issuance and listing of TAC and TAR Conversion Shares may affect share dilution and valuation.

Investor Guidance and Next Steps

The Company has stated it will continue working towards meeting the outstanding Resumption Conditions and will provide further updates as necessary. Shareholders are strongly advised to keep abreast of these announcements, as any developments related to the Resumption Proposal and share issuances could have material effects on the value and liquidity of the Company’s securities.

Shareholder Advisory

Shareholders and other stakeholders are urged to exercise caution when dealing in the shares or securities of TA Corporation Ltd. Given the ongoing developments, consulting with stockbrokers, bank managers, solicitors, accountants, or other professional advisors is recommended if there are uncertainties regarding investment decisions.

Conclusion

The completion of debt restructuring and the progress towards lifting the trading suspension represent important turning points for TA Corporation Ltd. Investors should stay alert for further announcements, as these could have significant implications for the Company’s share price and future prospects.

Disclaimer: This article is for informational purposes only and does not constitute financial advice or a recommendation to buy or sell any securities. Investors should conduct their own due diligence and consult with qualified professionals before making any investment decisions.

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