11th Mar 2016 11:27
LONDON (Alliance News) - Origo Partners PLC on Friday requested that its shares be suspended from trading on London's AIM, after being formally notified of a winding-up order by Brooks Macdonald at the Isle of Man High Court.
An initial hearing is scheduled to be held at the Isle of Man Courts of Justice on April 7, the investment company said. The share suspension was requested pending clarification of the company's financial position and the outcome of the initial court hearing.
Any "disposition" of Origo's property after the beginning of the winding up by the Isle of Man Court is "void" unless the court orders otherwise, according to Section 167 of the Isle of Man Companies Act 1931.
Although Origo's daily operations should be "broadly unaffected", the company warned of "likely" challenged in implementing its investment policy ahead of the outcome of the initial court hearing.
"The company has received legal advice that the Isle of Man Court is likely to validate realisations where no person will be prejudiced by them, and also that the provisions of section 167 of the Isle of Man Companies Act 1931 may extend to any transfer of the company's shares," Origo said.
Earlier this week, Origo said it was not in a position to redeem USD12 million of its convertible zero dividend preferences shares.
The company's articles of association include a requirement for the company to have redeemed that amount of CZDPs by Tuesday earlier this week.
Origo, which invests in companies based or active in China and Mongolia, in February said that uncertainty over China's slowing economic growth and depressed commodity prices have made it hard to realise its assets at attractive valuations.
By Samuel Agini; [email protected]; @samuelagini
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