SINGAPORE (THE BUSINESS TIMES) – Raffles Education Corp (REC) substantial shareholder Oei Hong Leong has discontinued his latest legal action against the company in relation to its plan to raise its stake in a Chinese property firm.

In a statement to the bourse, the mainboard-listed REC announced that Mr Oei and his firm Oei Hong Leong Art Museum had on Oct 12 filed a notice of discontinuance to terminate the legal action against the company with no order as to costs.

The conclusion came after the plaintiffs were unsuccessful in obtaining two interim injunctions against REC on Sept 30. One was to stop it from holding a shareholders meeting to vote on the proposed acquisition of an interest in Langfang Hezhong Real Estate Development; the other was to stop REC from proceeding with the proposed acquisition.

Following Mr Oei’s failure to get the injunctions, REC went ahead on Sept 30 with an extraordinary general meeting, where the proposed acquisition was approved.

Mr Oei and his firm had filed the legal action late last month, discontinuance of which has been approved by the High Court.