KUALA LUMPUR (March 3): Jentayu Sustainables Bhd (KL:JSB) has confirmed that a proposed extraordinary general meeting (EGM) requisitioned by 15 individuals for Feb 27 — which the company had earlier declared invalid — did not proceed, and a related lawsuit filed by its managing director has been formally withdrawn.
In a bourse filing on Tuesday, the sustainable energy company said it received written confirmation on March 2 from the lawyer representing the 15 purported requisitionists that the meeting was not held.
It was also informed on Tuesday by solicitors for its managing director, Datuk Beroz Nikmal Mirdin, that he is discontinuing his originating summons against the company and the 15 individuals.
The High Court has been notified of the withdrawal, with no objections raised by Jentayu Sustainables (the first defendant), Vong Chee Kian (the second defendant and lead requisionist) and Andy Lai Wee Young (fourth defendant and another key requisitionist). Vong and Lai had also informed the plaintiff on Feb 25 that they were withdrawing the EGM notice.
“In view of the foregoing, the company confirms that the matters relating to the proposed EGM are no longer subsisting and there is presently no EGM scheduled pursuant to the said requisition," Jentayu said in its Tuesday filing.
The withdrawal appears to bring to a close a high-profile boardroom tussle that began on Feb 12, when the group of shareholders sought to remove Beroz and several directors to replace them with new appointees.
Jentayu subsequently declared the proposed EGM invalid on Feb 20, saying the requisitionists did not collectively hold the minimum 10% of issued share capital required under the Companies Act 2016 to convene such a meeting. The company also alleged "elements of conspiracy and forgery", claiming one individual on the list had retracted his involvement and denied signing the requisition notice. A day before that, Beroz had filed the originating summons to block the meeting.
Following news of the dispute, Jentayu's share price stock swung to a high of 38 sen on Feb 16 — a 52-week high at the time — up from around 30 sen just a week prior. The stock has since retreated, closing at 29 sen on Tuesday, giving the company a market capitalisation of RM131.58 million.