6th Sep 2023 12:13
(Alliance News) - Global Invacom Group Ltd on Wednesday said it has decided to cancel its stock listing on the AIM market in London and retain only its primary listing in Singapore.
The Singapore-based satellite communications equipment and electronics provider also announced that subsidiary Global Skyware Ltd has signed a multi-year contract with Paris-based Eutelsat Communications SA.
Global Invacom said it will call a meeting of shareholders for on or around October 20 to approve its plan to delist from London, which it expects to occur on or around October 30.
The company, which was founded in 2002, has its primary listing on the Main Market of Singapore Exchange Securities Trading Ltd. It joined AIM as well in 2014 and currently has a market capitalisation of SGD9.4 million, about GBP5.5 million.
However, Global Invacom said limited liquidity in its shares on AIM means that its price is volatile and the listing doesn't provide access to fresh capital. This is set against the cost and management time required to maintain the listing.
Global Invacom shares were down 28% at 3.50 pence in London at midday on Wednesday. The stock had closed up 23% at SGD0.038 in Singapore earlier Wednesday.
Separately, Global Invacom said the deal with Eutelsat is for the supply of Global Skyware's XRE ODU platform. This is based on the Skyware XRE 3-Watt transceiver, which will begin production in the fourth quarter of this year.
Global Invacom said the Eutelsat deal won't have any material impact on its results for 2023.
By Tom Waite, Alliance News editor
Comments and questions to [email protected]
Copyright 2023 Alliance News Ltd. All Rights Reserved.