23rd Dec 2016 08:29
LONDON (Alliance News) - China-focused Grand Group Investment PLC said Friday it swung to a profit in the first half of its financial year, as the company prepares to make further investments and regain its AIM listing.
Grand Group reported a pretax profit of RM5.6 million for the six months to June 30, swinging from a RMB7.6 million loss for the same period in 2015.
The net asset value per share of the company as at June 30 stood at RMB8.53, compared to RMB8.42 as at December 31, 2015.
During the financial year, Grand Group disposed of its two major investments and is currently treated as a cash shell under AIM rules. Grand Group has September 30, 2017 to implement its current investing policy or make an acquisition in order to not be suspended from AIM.
"As the US Federal Reserve continues to look to raise interest rates, there has been a significant impact on the Chinese investment market, causing many asset prices to return to more rational levels. This provides a great opportunity for Grand in the coming year," said James Newman, non-executive chairman of Grand Group.
"The sales of Victory and JXT will bolster Grand's cash reserves for future investments in high-quality projects. Once we have regained our listing status on AIM, we will be in a better position to make those investments," added Newman.
Shares in the company, which were restored to trading on Friday, were untraded at 56.50p.
By Adam Clark; [email protected]
Copyright 2016 Alliance News Limited. All Rights Reserved.