[SINGAPORE] A unit of embattled entertainment group mm2 Asia on Monday (Dec 29) said it has received a payment demand for S$18.9 million, even as the parent company secured protection from creditors earlier this month.
The subsidiary, mmLive, received the latest statutory demand last Tuesday from solicitors representing an individual named Yi Xianhuang.
The company promotes and organises concerts and other entertainment acts, and also rents out musical instruments and equipment.
On Dec 10, mm2 Asia was given a lifeline after the High Court allowed the company to be shielded from creditors and legal proceedings for four months while it works out a restructuring plan. However, the protection does not extend to its subsidiaries, such as mmLive.
Yi’s notice followed a S$74.6 million payment demand from lender UOB on Nov 10, just three days before mm2 Asia reported a net loss of S$39.7 million for the half-year ended Sep 30.
The former Cathay Cineplexes operator’s revenue plunged 53.2 per cent to S$40 million for the second half of the 2026 financial year, from S$85.4 million in the year-ago period.
The iconic cinema chain shuttered earlier this year under millions of dollars in debt, and the entertainment group itself is now facing existential threat as banks and landlords have been issuing letters of demand.
To stave off an immediate winding-up by banks and creditors – the group has more than S$200 million in borrowings due within a year – mm2 Asia suspended trading of its shares after its board assessed that the group could not prove its ability to continue as a going concern.
The counter last traded at S$0.003 on Nov 10.
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