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- This is the third extension granted to Meridian since it was classified as a PN17 issuer in April 2024. The company was initially asked to submit its regularisation plan by Sept 25, 2024, but the deadline was later pushed to March 25, 2025, and subsequently deferred to Sept 25, 2025.
KUALA LUMPUR (Oct 29): Practice Note 17 (PN17) company Meridian Bhd (KL:MERIDIAN) said it has obtained a further extension of time from Bursa Malaysia Securities to submit its regularisation plan.
The property developer, which had sought a nine-month extension until June 25 next year, was granted only six months until March 25, according to its bourse filing on Wednesday.
This is the third extension granted to Meridian since it was classified as a PN17 issuer in April 2024. The company was initially asked to submit its regularisation plan by Sept 25, 2024, but the deadline was later pushed to March 25, 2025, and subsequently deferred to Sept 25, 2025.
“The extension of time is without prejudice to Bursa Securities’ right to proceed to suspend the trading of the listed securities of the company and to de-list the company in the event the company fails to submit the regularisation plan on or before March 25, 2026, and to obtain the necessary approvals for its implementation,” Meridian noted in its filing.
Meridian was classified as a PN17 issuer after its then external auditor, Jamal, Amin & Partners, issued a disclaimer of opinion on its audited financial statements for the 15-month period ended Sept 30, 2023.
The auditor cited cumulative net losses of RM108.24 million over three years, liabilities exceeding assets, depleted cash reserves, breaches of overdraft limits, encumbered inventory, and outstanding tax liabilities that have triggered legal action by tax authorities.
Earlier this month, Meridian's current external auditor, Morison LC PLT, said it has issued a disclaimer of opinion for the company’s financial year ended May 31, 2025 (FY2025) accounts due to serious financial issues, including missing records that prevented verification of opening balances.
The auditor said the company was unable to provide fundamental accounting records and supporting documentation necessary for its audit procedures. The missing records included those needed to verify opening balances of assets, liabilities, equity, income and expenses and to assess the comparative information presented.
Morison also highlighted Meridian’s ongoing losses and high debt which raised going-concern issues for the company.
The auditor noted that the company, which has been making losses for the past three financial years, made a net loss of RM57.2 million at the group level and RM1.45 million at the company level. Total loans and payables exceeded RM45 million.
In June, Bursa Securities reprimanded Meridian and fined five of its directors a total of RM350,000 for failing to promptly disclose that the company had minimal business activity.
Meridian shares closed half a sen or 20% higher at three sen, giving the company a market capitalisation of RM7 million.
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