Carry Wealth (HKG:0643) has put its proposed share placement on hold after receiving a letter purportedly from its controlling shareholder, MARS Worldwide, objecting to the fundraising, according to a Hong Kong bourse filing on Monday.
The company said the letter called for and sought an extraordinary general meeting, the placement to be halted, the general mandate for new share issuance to be revoked, all existing directors to be removed, and five new directors to be appointed.
Carry Wealth said it has not verified the sender's identity or authority and is seeking legal advice on the validity of the requisition.
It also said no placement shares have been issued and the board will decide whether to proceed after receiving a legal opinion confirming there is no impediment to the transaction.
Shares of the apparel and securities business were down over 15% in recent trade.