Another Malaysian unit of mm2 Asia receives RM1.5 million payment demand

[SINGAPORE] A Malaysian subsidiary of entertainment group mm2 Asia received a payment demand for the sum of RM1.5 million (S$444,031) from film distributor Antenna Entertainments, said the company in a bourse filing on Wednesday (Sept 17).

The amount owed, supposedly due on Sept 2, was for film distribution agreements.

Antenna had filed the claim against MM2 Star Screen in the High Court of Malaya on the same day.

Among its other demands, the film distributor is also asking MM2 Star Screen to pay a 5 per cent interest on the outstanding amount from the date of the court filing till the date the sum is fully settled, along with its legal costs.

This claim against MM2 Star Screen comes less than two weeks after another one of mm2 Asia’s Malaysian subsidiaries, MM2 Screen Management, received a payment demand of around RM1.3 million from the same company.

That sum owed was also for film distribution agreements.

The payment was due on Sep 2, the same day that Antenna filed the claim in the High Court of Malaya.

The board of MM2 Star Screen is seeking legal advice and intends to review the matter and respond in accordance with legal advice, read the bourse filing.

Both MM2 Screen Management and MM2 Star Screen had previously received letters of demand from Disney for a payment of around RM1.2 million.

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The sum was allegedly for film licence fees owed since November 2023 for movie screenings in Malaysia, although mm2 Asia said no Disney films have been screened since June 2024.

This comes as mm2 Asia wound up its cinema chain, Cathay Cineplexes, on Sep 1.

The cinema chain, which owes money to the landlords of several of its outlets, had attempted to negotiate settlements with creditors, but failed to arrive at mutual agreements with them.

Shares of mm2 Asia closed flat on Wednesday at S$0.003.