Handal Energy faces delisting risk after annual report delay
The oil and gas services provider is preparing a written explanation for Bursa Malaysia, with a Nov 10 submission deadline.
Bursa Malaysia has asked Handal Energy Bhd to justify its continued listing after the company missed its April 30 annual report deadline by more than six months. The company disclosed the show-cause notice in a filing on Nov 2.
Handal Energy said it was preparing its written response. Its annual report and audited accounts covering the financial period ended Dec 31,2025 remain outstanding, despite several revised submission targets, including its latest pledge to publish by Oct 28.
According to the company, a delisting decision would result in its securities being removed within seven market days unless it appeals within the stipulated period. Other regulatory measures or penalties remain possible even if Bursa Malaysia allows it to stay listed.
Handal Energy announced on Oct 20 that external auditor SBY Partners PLT had resigned. The board had voiced dissatisfaction over audit progress and signalled plans to appoint another auditor.
The company previously attributed much of the delay to audit work involving Tenzin Heavy Machinery (M) Sdn Bhd, its 30%-owned subsidiary. Unresolved matters covered projections of cash flow, assessments of asset impairment and liabilities arising from litigation.
Handal Energy has recorded losses for 13 quarters in a row. In its second quarter, which ended June 30, 2026, revenue was RM53,000 and the net loss was RM3.13 million.
Trading in its shares has been suspended since May 11 following the missed submission deadline. Its last traded price was one sen, giving the company a valuation of approximately RM4.5 million.
