- LiveTiles (LVT) submits a formal request to be removed from the Australian Securities Exchange (ASX)
- The employee experience software company told investors that remaining listed was no longer in its best interests
- It cited the underperformance of its share price for the decision, saying it was valued materially lower than unlisted companies of a comparable nature and stage
- Shareholder approval for the delisting will be sought at a general meeting to be held on or around September 5, with an anticipated delisting date of October 7
- Shares resumed trade today, nosediving 50.9 per cent to 2.9 cents at 12:40 pm AEST
Emerging from a trading halt, LiveTiles (LVT) today confirmed it had submitted a formal request to delist from the Australian Securities Exchange (ASX).
The employee experience software company told investors remaining listed was no longer in its best interests and cited the underperformance of its share price, low levels of trading liquidity and subsequent flow-on consequences for the decision to leave the exchange.
From July 2018 to the start of August 2022, the company’s share price dwindled from a peak of 59 cents to just six cents, with a market cap under $55 million.
LiveTiles said this was materially lower than the valuations of unlisted companies of a comparable nature and stage.
The board said it was confident the company’s valuation had a greater prospect of growing once it was unlisted.
In particular, the company expects to have broader access to technology-focused, global institutional investors and to companies unable to invest in ASX-listed companies due to investment mandates.
By delisting, LiveTiles believes it will have “greater flexibility” to pursue other opportunities and corporate transactions.
The company will seek shareholder approval for the delisting at a general meeting to be held on or around September 5, with an anticipated delisting date of October 7.
Shares resumed trade today and nosedived 50.9 per cent to 2.9 cents at 12:40 pm AEST.