Cousins Terence and Nelson Loh are looking to sell their stake in Axington Inc, according to The Business Times on September 21.
According to the paper, the cousins have approached several parties to buy out their stake.
The Catalist-listed company was bought over by the former investment bankers under their company Dorr Group.
Axington’s shares fell on August 24 when the Bellagraph Nova Group (BN Group) – which came about through a merger between the Lohs’ Dorr Group and former Axington chairman Evangeline Shen’s Bellagraph Group – admitted to doctoring photos of former US President Barack Obama, to show that he met the founders in Paris.
See: Axington shares drop 20% following admission of doctored Obama photos by company in Newcastle United takeover bid
Market regulator SGX RegCo, on the same day, reminded Axington’s sponsor Novus Corporate Finance, that it is obliged to assess the suitability of individuals appointed to the company’s boards.
See: SGX RegCo asks Axington's sponsor to assess suitability of individuals appointed to its board
Its non-executive independent director, Kirk Wagar, who is also the former US ambassador to Singapore, tendered his resignation on August 25.
On August 27, Axington’s previously-scheduled extraordinary general meeting (EGM), which was supposed to herald the Obama-inspired new strategic direction of NETX, did not happen.
See: Axington's Obama-inspired EGM postponed; independent director resigns
The company suspended the trading of its shares on August 31.
See: Bellagraph Nova Group-linked Axington suspends trading
On September 1, Evangeline Shen resigned as chairman of Axington, along with the company’s three other directors, Marjory Loh, Chua Siong Kiat, and Wong Soon Yuh.
See: Axington chairman Shen and three other directors quit, citing 'public scrutiny' and 'health reasons'
On September 3, the Loh cousins were said to be “exploring and evaluating strategic options” on what they want to do with the company.
See: Loh cousins mulling options on Axington following board exodus
On September 7, Axington Inc extended its offer period for its 2-for-1 renounceable non-underwritten rights issue of up to 95.2 million new ordinary shares.
See: Axington extends offer period for rights issue
On September 15, the cousins belatedly updated their stake in the company to 77.9% from 92.53% due to an “administrative oversight”.
See: Axington’s controlling shareholders, citing administrative oversight, belatedly updates stake to 77.9%
Separately, Ernst & Young (EY) filed a police report against Novena Global Healthcare Group, another company under the Dorr Group, for unauthorised signatures on the healthcare group’s financial statements.
Shares in Axington remain suspended, with its last closed price of 19 cents.