(Sharecast News) - Asset management consultancy MJ Hudson said on Monday that auditor EY has resigned with immediate effect less than 18 months after it was appointed, citing a loss of confidence in management.
In its letter of resignation, EY said it was "ceasing to hold office because we have lost trust and confidence in the company's management and those charged with governance, and in their ability, along with your finance team, to provide us with accurate and reliable information for audit".
MJ Hudson said it "continues to work with an external accounting and financial services firm to assist it in achieving the necessary clarity to enable the year end FY 2022 reporting to be completed".
"The board believes that this process will take some time to finalise and, during this time, the board will commence the search for a new auditor."
The company also said on Monday that there have been a number of "encouraging" initial bids for all of its business units, as well as bids for individual business units, divisions and combinations thereof, from credible potential acquirers.
"The process will now enter a confirmatory diligence phase before the board will seek best and final offers," it said.
