SINGAPORE (THE BUSINESS TIMES) - The Stratech Group is unable to make an exit offer ahead of its delisting as the funds maintained by the company are insufficient to settle creditors' claims in full, its liquidators said on Monday in a regulatory update.

The company's securities will be delisted from the Singapore Exchange (SGX) at 5pm on Oct 23.

SGX on Sept 10 gave notice that it will proceed to delist Stratech as the latter failed to submit a proposal to resume trading of its shares despite being given more than three years to do so.

On Sept 14, Stratech's court-appointed liquidators from BDO Advisory wrote to the company's controlling shareholder - a bankrupt - to provide the former with an exit offer by Sept 25. As at Monday, the controlling shareholder did not provide an exit offer.

The surveillance technology provider's controlling shareholders were the husband-and-wife team of executive chairman David Chew and executive director and chief corporate officer Leong Sook Ching.

The trading suspension began in August 2017, after an earlier trading halt could not be lifted because the Stratech group of companies was in a negative equity position and seeking to undertake a rights issue to pay off operational costs.

Subsequently, the Singapore High Court in September 2018 ordered Stratech and its subsidiary, Stratech Systems, to be wound up.

In May this year, SGX probed BDO about the status of the liquidation, seeing as the latest transaction related to the liquidation - a sale of Stratech's patent - had taken place last November.

BDO then sought the exchange's preliminary in-principle non-objection to transfer Stratech's listing status to a company incorporated in the British Virgin Islands, after the liquidators received an expression of interest from the latter. However, there were no further developments to this end.