KUALA LUMPUR (March 24): Oasis Harvest Corp Bhd (KL:OASIS) said it will ensure all future corporate exercises align with best practices and prioritise shareholder interests, after it was reprimanded by Bursa Malaysia in relation to the way it handled a now-scrapped rights issue proposal.

In a statement, Oasis Harvest said the May 2023 rights issue exercise proposal, which sought to raise up to RM17.24 million before a downsizing and subsequent cancellation, "occurred before the company's rebranding and transformation from Dolphin International Bhd".

"The rights issue, announced by Dolphin International in May 2023 under the previous management, prompted significant changes within the company.

"A newly appointed board of directors has since implemented enhanced internal controls and governance frameworks, ensuring all future corporate exercises align with best practices and prioritise shareholder interests," it said.

In reprimanding the group, Bursa said Oasis Harvest and its adviser Mercury Securities Sdn Bhd violated key listing rules by altering or cancelling the book closing date of Oct 5 for the rights issue, before ultimately terminating the exercise.

Further, Bursa said the two parties failed to promptly inform the bourse regulator that the announcements and shareholder circular on the rights issue may not have met disclosure requirements, particularly regarding the financial impact of an impairment related to Oasis Harvest’s acquisition of High Reserve F&B Sdn Bhd.

Oasis Harvest rebranded from Dolphin International in July last year. It said it is actively pursuing legal and financial measures to recover compensation related to the acquisition of High Reserve F&B.

The rebranding followed a change in shareholding in the company, with Datuk Yeo Boon Leong and Asia Poly Holdings Bhd (KL:ASIAPLY) ceasing to be substantial shareholders in April and September last year.

Instead, Oasis Harvest Holdings Bhd (OHHB) and later Datuk Seri Tan Ooi Han emerged as substantial shareholders in the company. Tan, an executive director in Oasis Harvest, holds 13.62% direct stake and another 13.88% indirect stake via OHHB.

­­At Monday’s close, Oasis Harvest shares were half a sen higher at 19 sen, valuing the group at RM27.96 million.

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Bursa Malaysia publicly reprimands Oasis Harvest and adviser Mercury Securities over compliance failures in terminated rights issue