KUALA LUMPUR (Feb 3): Cash-strapped LYC Healthcare Bhd (KL:LYC) said Messrs Baker Tilly Monteiro Heng PLT has resigned as the company's external auditors after the two sides were unable to agree on the audit fees.

“Their resignation was mutually agreed upon as both parties were not able to reach an agreement on proposed audit fees for the financial year ending March 31, 2025,” LYC said in a bourse filing.

Baker Tilly was re-appointed as the company’s external auditors at the last annual general meeting (AGM) on Sept 27, 2024.

LYC said the appointment of new auditors will be made once it is finalised by the board.

Listed on the ACE Market of Bursa Malaysia, LYC operates confinement homes and childcare centres, senior living homes, and family clinics. It is also involved in cosmetics and aesthetics.

LYC has reported annual losses since 2012. For FY2024, the group recorded a net loss of RM19.68 million, compared to RM19.19 million the previous year, due to costs incurred from delays in the Singapore Exchange Ltd (SGX) listing.

On Dec 31 last year, LYC announced it plans to list two of its subsidiaries — HC Orthopaedic Surgery Pte Ltd (HCOS) and T&T Medical Group Pte Ltd — on the Nasdaq Capital Markets through a listing vehicle, LYC Healthcare (Cayman) Ltd.

The proposed listing, which is expected to be completed by the first half of 2025, aims to raise between US$5 million (RM22.33 million) and US$15 million, with a minimum share price of US$4.

Prior to the latest listing proposal, LYC previously withdrew a similar listing plan for its subsidiary, LYC Medicare (Singapore) Pte Ltd — under which HCOS and T&T Medical were parked at the time — on the Catalist Board of SGX in June 2024. It later abandoned the attempt, initiated in 2022, citing unfavourable conditions in the Singapore equity market.

LYC was not traded on Monday. It last closed at nine sen, giving the company a market capitalisation of RM64.35 million.

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