Hillsdale Furniture LLC, a customer of Synergy House and is to be acquired by Green River Group Bhd said it owes the company US$2.9 million (RM13.53 million).
Synergy House was responding to an unusual market activity (UMA) query by Bursa Malaysia Securities yesterday, following the sharp decline in its stock price.
It said the acquisition of Hillsdale by Mellow River, a division of Green River Group involves its Hillsdale's assets and not its liabilities.
"The company is in the midst of assessing the impact of the amount owing to the group and is also exploring various means to optimise the recovery of the amount owing," Synergy House said in its filing in Bursa Malaysia today.
Synergy House's share price fell to its lowest in three months to RM1.07 a share yesterday.
It gained most of lost ground today, rising almost 15 per cent to RM1.23 a share, giving it a market capitalisation of RM620 million.