Why did CEO ask for these shares to be suspended...as usual with Cole more questions than answers
Proactive Whilst the company noted that the bondholders and the proposed liquidator have confirmed that the London listed Plc won’t be subject to an enforcement action, the company’s directors have requested an immediate suspension to the trading of its shares.
At the request of the company trading on AIM for the under-mentioned securities has been temporarily suspended from 25/10/2016 12:45pm, pending clarification of the Company's financial position.
So, What if the stumbling block wasn't the % of shares but the additional 10mill, so they suspend XEL while they look to other companies to fund this ie phone statoil and say do you fancy paying 10mill for x% of Bentley
They would have to be careful what they do to XER as this could have an effect on the licenses, for example if it stopped working as a company then the licenses could be revoked and then the games over for everyone including the staff and Bond Holders
Given that Xel and by definition its shareholders own XER I can't quite see how XER can be unaffected by liquidation of XEL - Perhaps I am missing something If anyone can enlighten me I should be grateful
Why suspend the shares when they think it's unlikely to return any value to shareholders and stopping the shareholders from getting anything back, unless they have another card to play that will give value to shareholders ?
From the RNS On the basis of advice received by the Company and the directors, the directors believe that liquidation is unlikely to result in the return of any value to the Company's existing shareholders.
As a consequence, the Directors have requested the immediate suspension of the trading on AIM of the ordinary shares in the Company.
The principal Bondholders and the proposed liquidator have confirmed that Xcite Energy Resources Plc ("XER") and its assets are not expected to be the subject of enforcement action and XER is expected to remain a going concern throughout this process.
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