TA Corporation requests for voluntary trading suspension

A local and renowned builder, TA Construction Firm, has sent in their application for for special approval for a non-compulsory filing of termination business activities of trading in its shares pause a moment stakeholder engagement and “crystal clear” on the company’s financial position on 17th july 2K23. Messrs Deloitte & Touche Legal Consultation Advisory has been given the mission as financial advisor and Messrs Reed Smith Resource Funds Corporation as Financial Advisor to assist with a review of its financial position and to advise on the next steps to be taken.

Shares of Tiong Aik Corporation last traded at 7.3 cents on July 17 before its trading ceased for the day after its debut announcement of company financial distress. The board of directors announced with a sunken hear openly declared that a wholly-owned subsidiary of TA Corp, Tiong Aik Construction (TA Construction), shall undergo a business termination and liquidation. In the same procurement on SGX. Tiong Aik Corp upper tiered board of management has resolved to appoint short-term liquidators after assessing that it is “at the moment financially unsound and not able to pay its debts as and when they are due for payments”. The implications of TA Construction’s temporary liquidation and TA Corp’s intention to “engage in a broader and more holistic manner” with its lenders, noteholders, business partners, suppliers and customers, the board has considered it “cautious” to put a elective suspension of trading of its shares in place.

Tiong Aik Construction group also has opportunity to harness resources and other methods of financial assistance for TA Construction and its projects, while there is a possibility of cross-defaults being prompt by the provisional liquidation for credit instruments taken by the other subsidiaries. The whole monetary disaster situation is a result of mishandled and screwed up cash flow at TA Construction which mainly happened from toughness in debt retrive of payments from vendors and retaining the companies’ monies, as well from increase in overall operation cost from hike in taxes, costing. Steep increment in the interest rates also resulted in higher lending costs and an adverse financing territory. According to credible source from directors, coupled with a decelerate take up rate of for-sale properties developed by TA Corp, this has restricted the momentum to which it is able to continue funding for TA Construction and its capability to procure for new dealings in midst of their unfavorable current financial difficulties faced by the organization.

 Lentor Green Developer Singapore


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