KUALA LUMPUR (June 23): Kawan Food Bhd (KL:KAWAN) will need to appoint a new external auditor after shareholders voted overwhelmingly against the re-appointment of Messrs RKT & Associates PLT, formerly known as RSM Malaysia PLT, at the company's annual general meeting on Tuesday.

According to the poll results, 47 shareholders representing 99.23% of votes cast rejected Ordinary Resolution 5, which sought approval for the auditor's re-appointment, while 108 shareholders representing 0.77% of votes cast supported the resolution.

RSM Malaysia has served as Kawan Food's external auditor since the financial year ended Dec 31, 2019 (FY2019).

In a filing with Bursa Malaysia, Kawan Food said it will appoint another audit firm as its new external auditor, with a further announcement to be made in due course.

The frozen food manufacturer added that, apart from the resolution's defeat, the board was not aware of any other matters requiring shareholders' attention.

Its 12 other resolutions which included approval of directors’ fees and benefits and reelection of three directors, namely Dr Nik Ismail Nik Daud, Lim Hun Soon @ David Lim and Gan Ka Bien were all accepted

Shares of Kawan Food closed unchanged at 82.5 sen on Tuesday, giving the group a market capitalisation of about RM300 million. The stock has fallen 33.5% over the past year.