Semnet Update
GSTechnologies Ltd announced that its 66.67% owned subsidiary, Semnet Pte. Ltd., has initiated legal proceedings by serving a writ of summons against the sellers of Semnet and a former manager, seeking approximately US$4.2 million in damages for alleged breaches of fiduciary and contractual duties that negatively impacted the business. This action follows unsuccessful mediation efforts to reach a formal settlement agreement regarding claims stemming from the Sale and Purchase Agreement dated 5 December 2023.
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GSTechnologies Ltd (LSE: GST), the fintech company, announces an update regarding the Company's 66.67% owned subsidiary Semnet Pte. Ltd ("Semnet").
As announced on 18 July 2025, the Company issued a notice of arbitration to Choo Seet EE and Zheng Kang Wen Mervyn (the "Sellers"), the sellers of Semnet, as set out in the Sale and Purchase Agreement ("SPA") dated 5 December 2023. As referenced in the Company's interim results announced on 18 December 2025, a mediation hearing was held in early December 2025 with a view to agreeing a formal settlement agreement between the Sellers and the Company. However, formal settlement terms have not been reached, and consequently, Semnet has now formally issued and served a writ of summons against the Sellers and Hoi Yan ('Daphane') Chong (a former Semnet manager) to vigorously pursue claims for alleged breaches of fiduciary and contractual duties, including breaches of the SPA, that have negatively impacted the Semnet business. The total damages sought are approximately US$4.2 million.
The GST Board remains committed to protecting the interests of shareholders and will announce further updates as appropriate.
Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.