Mainboard-listed USP Group has appointed Dr Lim Boh Soon as chief executive officer and executive director.
This came days after independent auditors flagged a material uncertainty in the company's fiscal 2019 results that may cast doubt on its ability to continue as a going concern.
Dr Lim, 63, began his role as CEO on Monday. His appointment as executive director will be effective from Oct 1, USP said in a bourse filing yesterday.
He replaces interim CEO Kan Bright Pan, who was appointed to the role in December last year. Mr Kan will resume his position as chief technical officer of USP's marine business.
Dr Lim is the founder-owner and managing director of Arise Asset Management, as well as a venture partner at TPT Corporation. He is also an independent non-executive director at OUE Commercial Reit, Jumbo Group and TOMI Environmental Solutions.
TEE International's controlling shareholder Phua Chian Kin has entered into a binding term sheet to sell 150 million shares in the company, representing a 23 per cent stake, for $9 million in cash or six cents per share.
His direct interest in the company will then be 16.24 per cent while his deemed interest will be 6.37 per cent.
Mr Phua, who has been in the spotlight for allegedly instructing unauthorised transactions totalling $6.55 million made by TEE International subsidiaries to related parties, told the board that he has no intention of selling his balance shareholding.
The completion of the proposed sale is subject to certain conditions and is expected to take place on or before Oct 31, said TEE International on Monday.
Mr Phua is currently group chief executive and managing director. He lost his majority stake in TEE International after forced sales of three tranches of shares under his direct interest, separately by three institutions to whom he had pledged parts of his shareholdings.
The forced sales happened after the unauthorised transactions came to light.
RHB Securities force sold nearly 41.52 million shares, DB Nominees (Singapore) force sold 21.88 million shares, and SBS Nominees force sold 18.81 million shares.
Before that, Mr Phua's direct interest was 51.95 per cent and deemed interest, 6.37 per cent.