Walcom Group Ltd Company Update

 
TIDMWALG 
 
The information contained within this announcement is deemed by the Company to 
constitute inside information as stipulated under the Market Abuse Regulations 
(EU) No. 596/2014 ("MAR"). 
 
                                                                    29 May 2020 
 
                             WALCOM GROUP LIMITED 
                          ("Walcom" or "the Company") 
 
                                Company update 
 
The Board of Walcom provides an update on the Company's current working capital 
position. 
 
Mr Francis Chi, Chief Executive of the Company, has still been unable to 
provide the proposed loan of HK$1,230,000 (the "Director Loan") to the Company 
as intended. Mr Chi has, again, reiterated his intention to provide the 
Director Loan but there can be no certainty as to the provision or the timing 
of the Director Loan. 
 
As previously announced, the Company has been taking steps to conserve its cash 
resources, including the deferral of certain expenses. To this end, the Company 
has been able to defer a loan repayment of RMB200k, previously due to be paid 
at the end of May 2020, to 3 June 2020. The Company will require additional 
funding to repay this bank loan. Therefore, based on Walcom's current cash flow 
projections, the Company will be able to continue operations until 3 June 2020. 
In the absence of the Director Loan now being received in part or in full by 3 
June 2020, the Company would be unable to continue its operations and would be 
forced into liquidation with a consequential diminution in value to 
shareholders. 
 
Further announcements will be made in due course. 
 
Further enquiries: 
 
Walcom Group Limited                                           [phone] 
Francis Chi (Chief Executive Officer/Chief Financial 
Officer) 
 
 
Allenby Capital Limited (Nominated Adviser and Broker)       [phone] 
David Hart / Asha Chotai 
 
 
 
END 
 

(END) Dow Jones Newswires

May 29, 2020 02:00 ET (06:00 GMT)