Boustead Projects , on April 4, sought a three-month extension from the Singapore Exchange Regulation (SGX RegCo) to comply with rule 724 of the listing manual. The extension will commence from March 27, which is the date of the close of the privatisation offerby Boustead Singapore.
Boustead Projects adds that Boustead Singapore F9D is “exploring various options” to comply with the listing rules.
“The company will make such announcements as may be necessary and/or appropriate to update the shareholders on the restoration of free float, including but not limited to the completion of the restoration of the free float and/or request for the lifting of suspension and resumption of trading of shares of the company,” reads the filing by Boustead Projects on April 4.
Under the listing rules, rule 724 states that the exchange may suspend the trading of shares in a company if the free float – or the percentage of shares held publicly – falls below 10%.
“The exchange may allow the issuer a period of three months, or such longer period as the exchange may agree, to raise the percentage of securities in public hands to at least 10%. The issuer may be removed from the Official List if it fails to restore the percentage of securities in public hands to at least 10% after the period,” reads the rulebook.
On March 20, Boustead Projects announced that it had lost its free float after Boustead Singapore received valid acceptances of over 90% of the total number of shares in the former.
See also: Boustead Singapore revises privatisation offer for subsidiary Boustead Projects to 95 cents
On March 22, SGX RegCo said that Boustead Projects has to restore its free float after its shares were suspended, citing that the company did not meet its listing rules in its privatisation offer.
Shares in Boustead Projects were suspended since March 28 at the close of Boustead Singapore’s offer.
As at 1.09pm, shares in Boustead Singapore are trading 0.5 cent lower or 0.61% down at 82 cents.
