(Alliance News) - E-commerce business-to-business marketplace cloudBuy PLC on Thursday backed the cancellation of its shares from AIM trading, ahead of a shareholder vote on the proposal later this month.
cloudBuy's stock dropped 77% upon the announcement to 0.50 pence each in London on Thursday morning.
The company's board support a withdrawal of its public listing, explaining that it is "in the best interest of shareholders".
cloudBuy said: "The directors consider these proposals to be in the best interest of shareholders after considering, amongst other things, the costs of maintaining trading in the ordinary shares on AIM and the limited free float and liquidity in the ordinary shares and intend to vote in favour of the resolutions at the general meeting."
Shareholders will vote on the resolution at a January 27 general meeting in Aldermaston, Berkshire, where cloudBuy is headquartered.
Should shareholders back the proposal, cloudBuy shares will be cancelled, effective February 7.
By Eric Cunha; ericcunha@alliancenews.com
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