Two independent directors of Addvalue Technologies have resigned, following pressure from a group of shareholders who control more than 11% of the shares.
Chua Chwee Koh will step down with effect from Oct 26 and Goh Liang Choo with effect from Nov 15.
According to Addvalue in a filing to the exchange, this group of shareholders had threatened to call for an EGM to formally remove Chua and Goh.
The company did not disclose if these shareholders had indicated why.
Addvalue says its board was "surprised" as both Chua and Goh have the "full confidence" of the board and they have "contributed significantly" since their appointments.\
The company notes that it has turned around following a couple of challenging years with these two directors on board.
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"Such contributions were made throughout a very challenging period and the success of the company's efforts has been demonstrated by its business turnaround to the current profitable state," says Addvalue.
CEO Tan Khai Pang and non-executive chairman Richard Denny separately invited the shareholders to a meeting, but according to the company, they turned down both invitations.
Following which, Chua and Goh have decided to step down voluntarily and are giving the company some time to find replacements.
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Addvalue says that last month, Goh had already indicated her wish to step down from the board to "devote more time to her personal commitments."
She was previously with Shell, UBS Warburg, General Electric and EY.
Meanwhile, Chua, a retired brigadier general, received just 52% of the votes in favour of his reappointment, believes it is in the "best interest" of the company to resign.
Addvlaue shares closed at 2.7 cents, down 3.57% for the day but up 170% year to date.
