The decision was approved by the company’s shareholders
Kcell shareholders approved the delisting of the Global Depository Receipts (GDR) of the London Stock Exchange (LSE) and Astana International Financial Center (AIX). The decision was made at the Extraordinary General Meeting of Shareholders (EGM) to be held on April 9, 2021. The Kapital.kz Business Information Center reports based on the information published on the company’s website.
“The Extraordinary General Meeting of Shareholders decided by a majority vote to approve the termination of the GDR issuance and issuance plan, so as to exclude the GDR from the official list of the UK Financial Conduct Authority, and to terminate the transaction on the London Stock Exchange and the transaction Access. The “Astana International Financial Center” indicated in the message.
The company’s shares will continue to be listed on the Kazakhstan Stock Exchange (KASE).
Earlier, Kcell explained that maintaining the listing of GDR on LSE and AIX and the listing of the company’s common stock on KASE will lead to low liquidity levels, and changes in the corresponding tools in these three tools will lead to diversified trading trends. . The company explained: “The board of directors believes that the decrease in the company’s securities trading market and the resulting concentration of KASE stock trading will lead to an increase in liquidity levels,” the company explained.
It is also reported that the number of secondary trading GDRs on the London Stock Exchange and AIX is quite low and limits the possibility of issuing additional shares. “The board believes that it will be difficult for the company to attract a large amount of investment through GDR listing in the future. In addition, the company has no plans to switch to an international stock exchange for its financing strategy in the near future. In view of the low liquidity of trading GDR on LSE and AIX, Therefore, the company’s cost and management work required to maintain its status as a company listed on LSE and AIX and the content of the GDR plan are unreasonable and therefore exceed their interests”,-report in the company.
Kcell intends to delist from GDR
Want to delete global depositary receipts from the LSE and AIX list