16th Sep 2019 11:39
(Alliance News) - PME African Infrastructure Opportunities PLC on Monday reported flat performance in the first half of 2019 and said it considering delisting from the AIM stock market to cut costs.
The investment company said its NAV per share as at June 30 was USD0.15, unchanged from NAV per share as at the end of 2018.
PME African shares were trading 33% lower in London at USD0.05 each.
The company has one remaining unrealised asset, a building in Dar-es-Salaam, Tanzania, which is currently 81% let and continues to trade profitably. The Dar-es-Salaam property has three tenants, one of which has requested a reduction in the rent after October and PME African said the negotiations with the tenant are ongoing.
The company said the fair value of the Dar-es-Salaam property remains at USD3.6 million, unchanged from December 31 valuation.
"There is still uncertainty about the economic position of Tanzania and the market for high-end office accommodation has not improved. The prospect of selling the building in the short term for a reasonable price remains uncertain," said Chair Paul Macdonald.
"The directors have considered the alternatives available to reduce costs and maintain the operation including reviewing the costs of maintaining the company's listing on the AIM market. The initial result of this review is that the company can save around USD170,000 per annum by delisting. It is the directors' intention to complete this review and, if appropriate, recommend to shareholders that the company delists from the AIM market in the coming months," added Macdonald.
Related Shares:
PMEA.L