PETALING JAYA: Raya International Bhd said it has no connection to funds from get-rich-quick and fake online investment schemes run by a company previously linked to it.
Raya's independent non-executive director Ho Fook Meng said the oil bunkering and oil-related products trading company does not engage in “money game” activities.
"We have nothing to do with (the company). Water Beaute World Bhd (WBW) was the substantial shareholder of Raya last year. However, it sold the shares.
“Presently, Raya’s board of directors and management have nothing to do with WBW," he said after Raya's annual general meeting in Petaling Jaya today.
On a separate matter, Raya said it is considering renaming itself to Straits Inter Logistics Bhd with the aim of raising funds via a rights issue amounting to RM21 million, which is expected to be completed in the third quarter of this year.
"We have gone through four main corporate exercises, including capital reduction, two ship acquisitions, offer rights issue with warrants and rebranding the company," Ho said.
The bulk of its indicative proceeds of RM21 million (if fully subscribed) will be utilised for its working capital.
"We are in the process of acquiring our second ship, which is expected to be completed in the third quarter of this year.
"It is part of the rights issue to acquire the second ship for RM2.8 million," he said, adding that it is the company's main capital expenditure this year.
Ho said the balance of the proceeds will be allocated for the working capital of its oil bunkering logistics and trading businesses.
"We completed our first ship acquisition in mid-June this year, which cost us about RM3.2 million. Both ships have a 500 metric tonne capacity for oil bunkering activities," he said.
Ho added that the company's focus is currently on oil bunkering and trading, after exiting its previous water filtration business.