SINGAPORE - Pacific Star Development (PSD) on Friday (May 31) said it has appointed RSM Corporate Advisory to liquidate its aluminium business after receiving approval to do so from shareholders and creditors.
Following an extraordinary general meeting and a creditors' meeting convened on May 30, Chee Yoh Chuang and Lin Yueh Hung from RSM have been appointed as joint and several liquidators for a creditors' voluntary liquidation of Durabeau Industries and LH Aluminium Industries - both of which collectively make up its aluminium business division.
Last week, PSD announced that it was liquidating its aluminium business division to focus on property development.
It added that the aluminium division accounts for a "relatively small and insignificant" proportion of the group's overall revenue, and that it has been facing strong industry competition, with challenges to remain profitable in the long run.
According to PSD's annual report, its aluminium division contributed $3.9 million of the group's total revenue of $121.4 million for the financial year ended June 30, 2018. Meanwhile, its property division contributed S$117.4 million in total revenue for the same period.
The group also noted that discontinuing its aluminium business would allow it to free up resources, management time and attention to further support its property development business.
In a separate filing on Friday, PSD announced that Andrew Seet, the company's group general manager and executive vice-president, has resigned to pursue other interests and opportunities. His resignation is effective May 31.
Mr Seet was appointed to his position on July 5, 2018. He was responsible for overseeing the company's business operations comprising its property and non-property division, in Singapore and other countries that the firm had dealings in.