KUALA LUMPUR: Zetrix AI Bhd shares hit a fresh low of five sen on Friday as the embattled technology company faces a potential breach of its RM2 billion sukuk covenant, adding to a string of setbacks in recent months.
At market close, the stock had pared some losses to settle at 5.5 sen, still down 15.38 per cent from Thursday's close of 6.5 sen.
It was Bursa Malaysia's most actively traded counter, with nearly 255 million shares changing hands.
At 5.5 sen, Zetrix AI had a market capitalisation of about RM444.33 million.
The latest sell-off came after Zetrix AI disclosed that its managing director, Wong Thean Soon, was no longer the company's single largest shareholder following forced share sales by banks.
In a filing with Bursa Malaysia, the company said Wong's combined direct and indirect shareholding had fallen to 1.895 per cent as at Oct 15.
Under the terms of its RM2 billion Sukuk Wakalah programme, Wong is required to remain the company's single largest shareholder, directly or indirectly.
Zetrix AI has until Oct 22 to remedy the potential breach, failing which it will seek consent or directions from sukukholders through an extraordinary resolution.
The company said it was in discussions with the sukuk trustee and would announce any material developments.
Bursa Malaysia temporarily suspended trading in Zetrix AI's securities at 9.19am on Friday following the announcement.
The latest development adds to mounting pressure on Zetrix AI, whose shares have plunged 93.3 per cent from their April high of 89.5 sen.
On Aug 28, the stock plunged about 50 per cent amid forced sales of shares pledged by Wong.
Concerns over Wong's shrinking shareholding and the company's rising borrowings subsequently prompted MARC Ratings to place its RM2 billion Islamic medium-term notes programme on MARCWatch Developing in September.
The rating agency highlighted the sharp increase in Zetrix AI's borrowings, which rose to RM2.2 billion as at June 2026 from RM160.5 million in 2021.
Its cumulative development expenditure also climbed to RM3.7 billion from RM322.5 million over the same period, accounting for about 56 per cent of total assets.
MARC Ratings subsequently revised the company's MARCWatch status to "Negative" in early October, citing concerns over transparency, governance and insufficient information on its borrowings and development expenditure.
The revision followed the resignation of Zetrix AI's external auditor, TGS TW, in late September.
The company also faced another setback this month when the Road Transport Department suspended its services from Oct 5 over outstanding remittances.
Transport Minister Anthony Loke said the outstanding collections amounted to RM314 million, while Zetrix AI submitted a proposal to resolve the matter.
The succession of setbacks has overshadowed the company's expansion into artificial intelligence and blockchain technology, despite its reported net profit of about RM540 million in the first half of 2026.
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