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(Sharecast News) - MobilityOne reported on Monday that its Malaysian associate Sincere Acres' wholly owned subsidiary, Hati International, has been placed into winding up proceedings in Malaysia, although the AIM-traded group said its own operations remained unaffected.
The company said it was informed on 17 December that Hati International, a healthcare information systems provider, had been the subject of a winding up petition and that the High Court in Malaysia granted a winding up order on 5 December.
It said the petition related to outstanding loans made to Hati by three private individuals in 2021, which remained unpaid and predated Hati becoming an associate of MobilityOne's Malaysian subsidiary.
MobilityOne holds a 49% interest in Sincere Acres, which it acquired in October 2023 through its wholly-owned Malaysian subsidiary MobilityOne Sdn Bhd.
The firm previously provided updates on the settlement of deferred consideration relating to that acquisition, most recently on 17 December.
It said that on 18 December solicitors acting for Hati filed a notice of appeal with the Malaysian Court of Appeal challenging the winding up order.
Hati had also instructed its legal advisers to seek a stay of execution of the winding up order from the High Court pending the outcome of the appeal.
MobilityOne said it understood that Hati's operations remained unaffected at the current stage.
It added that neither MobilityOne nor its operating subsidiaries were subject to the litigation, and that the group's core payments business in Malaysia was entirely unaffected by the matter.
Reporting by Josh White for Sharecast.com.
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