Ghana Stock Exchange (GSE) has delisted Sam-Woode Limited (SWL) from the Main Equity Market of the Exchange from the local bourse.
According to the Ghana stock exchange, the reason for delisting of Sam-Woode Limited from the Accra bourse is due to the company’s cessation of operations.
A release from GSE said this decision is based on Rule 13(1) of the GSE’s Listing Rules which provides that the Council may at any time and in circumstances as it thinks fit, suspend or cancel a listing and shall do so to protect investors and to ensure an orderly market.
Among the reasons for which the Council may delist a company is where the company has ceased to be an operating company, as provided under Rule 13(4)(a) of GSE’s Listing Rules.
In September 2020, SWL informed the Exchange of its intention to delist from the Exchange and restructure its operations.
It had suspended its operations because it was hard hit by the introduction of the new Ghana Education Service curriculum, which had led to a subsequent obsolescence of its textbook inventories and the stoppage of its book sales operations.
Shareholders’ Voting
As such, its shareholders subsequently voted to delist from the Exchange and restructure the company.
The Exchange has since then, followed up several times with SWL to commence the delisting process, with the expectation that SWL will carry through the voluntary delisting successfully, but the company has failed to do so.
To ensure an orderly market, the GSE Council has thus directed the compulsory delisting of SWL due to the cessation of the operations of the company with reference to Rule 13(40(a) of the GSE’s Listing Rules.
“Following this, the Exchange is notifying the public and, per Rule 13(4)(a) of the GSE’s Listing Rules, suspended the listing status of SWL on the basis of SWL’s cessation of operations.”
GSE
SWL will therefore be taken off the Main Market of the Exchange at the end of trading month April, 2023. The shares of SWL will no longer be traded on the stock exchange after successfully delisting.
Recently, a number of companies delisted from the local bourse. Mechanical Lloyd Plc announced the company’s delisting from the Ghana Stock Exchange. The offer results and delisting was approved by the Ghana Stock Exchange and took effect Friday, 16 April 2021.
PZ Cussons Ghana Limited (PZC) also delisted from the Ghana Stock Exchange (GSE) effective October 19, 2020. According to PZ Cussons Ghana, the decision to delist at the time was in line with the company’s plans to achieve operational efficiency by giving its management more time and resources to focus on running and expanding the business, its distribution network and its reach, thereby ensuring consumer satisfaction.
The Ghana Stock Exchange (GSE) again, delisted Pioneer Kitchenware Ltd (PKL) from the main equity market of the Exchange effective January 14, 2019. According to a statement from the GSE, the decision to delist Pioneer Kitchenware Ltd is based on Rule 13 of the GSE Listing Rules.
Ghana Stock Exchange (GSE) compulsorily de-listed African Champion Industries Limited (ACI) from the Main Market of the Exchange at the end of September 2018.
The GSE deemed the financial situation of ACI to be significantly threatening. It de-listed ACI under Rule 13(1) of the GSE’s Listing Rules.
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