In July 2022, ASTI Holdings (SGX:575
) , which was already on the then SGX watchlist for companies unable to meet a minimum market cap requirement, suspended the trading of its shares after receiving the notice of delisting. It had struggled for years to be profitable to no avail, and was not granted further extensions to exit the watchlist.
Not all companies that delisted from the exchange did so because their controlling shareholders lost patience with the persistent, perceived undervaluation of their businesses. Some were asked by the Singapore Exchange (SGX) to delist for reasons ranging from failure to comply with regulations to limited prospects of improving their financial viability.
Upon issuance of delisting notices, companies typically have to offer a fair exit to shareholders. If they were unable to do so, minority shareholders could lose their entire investments in the worst-case scenario.
