Last December, two top Kimly directors were arrested by the Commercial Affairs Department (CAD). They are currently being investigated on the company’s proposed acquisition of Asian Story Corporation (ASC) and are suspected of giving false or misleading information that is likely to induce the sale or purchase of securities, or affect the market price of securities — an offence under Section 199 of the Securities and Futures Act. Kimly has since pulled out of the proposed acquisition.
With this in mind, I decided to attend Kimly’s annual general meeting this year to learn more about the issue and the company’s business. When I reached the venue, I was surprised by the turnout because AGMs of small-cap companies are usually poorly attended. (I guess when there is bad news, people want to know more.)
Here are the five things I learned from the 2019 Kimly AGM:
1. Naturally, the first question