KUALA LUMPUR (Oct 19): Zetrix AI Bhd (KL:ZETRIX) managing director Wong Thean Soon has sold another 600,000 shares, reducing his stake to 1.887% and further complicating the group’s efforts to remedy a breach of its RM2 billion sukuk covenant, which requires him to remain its largest shareholder, by the Oct 22 deadline.
The company last Friday said it would seek sukuk holders’ approval for a waiver if the breach cannot be resolved by Oct 22. Without a waiver, the breach could trigger early repayment of the RM2 billion principal and RM164.5 million in future coupon payments, bringing the total potential liability to RM2.16 billion.
The share disposal, also made last Friday, comes on the heels of Zetrix AI’s announcement on Monday (Oct 19) morning that it was withdrawing its first interim single-tier dividend of 0.25 sen per share for the financial year ending Dec 31, 2026, citing the need to preserve working capital amid unexpected operational expenses. The dividend, declared on Aug 24, was scheduled to be paid on Nov 20.
According to a Bursa Malaysia filing on Monday, the shares were transacted at five sen per share, for a total consideration of RM30,000.
The shares disposed of, equivalent to 0.008% of the company, were held indirectly through Asia Internet Holdings Sdn Bhd. Following the disposal, Wong held 43.18 million shares directly, representing a 0.547% stake, and 105.83 million shares indirectly, or 1.34%, through Asia Internet Holdings.
The latest disposal comes amid a series of forced share sales linked to margin calls on Wong’s share-backed financing facilities, which have sharply reduced his stake in the company from nearly 30% in late August.
Better known as TS Wong, he previously told The Edge Malaysia that the disposals were not voluntary and that he was considering legal action over suspected collusion and share price manipulation.
The company’s shares fell 9.09%, or half a sen, to five sen on Monday, a level last seen 14 years ago. Some 108 million shares changed hands.
The sell-off since late August has wiped out more than 90% of Zetrix AI’s market capitalisation, which stood at RM394.9 million based on Monday’s closing price.