Cash shell Kin Group Plc (LON:KIN) has advised trading in its shares will likely be suspended at the beginning of next month.
The board is in discussions with a number of interesting businesses and continues to receive approaches from firms interested in achieving a stock market listing through a reverse takeover (RTO), but it will not be in a position to complete any of these deals by the end of this month, which will mark the six-month anniversary of when it became a cash shell, as defined by AIM rules.
READ: Kin Group shares resume trading on AIM as it completes financial restructuring
Under AIM rules, trading in the company’s shares will be suspended until such time as it completes a deal or another six months passes; in the event of the latter, the company’s stock exchange listing will be suspended.
Cash resources
The directors' priority is control over the company's cash resources which, at the date of this announcement, are roughly £800,000; Kin’s current market capitalisation if £621,000.
"In the three months since the new board was appointed, we have considered a number of innovative businesses interested in a reverse takeover of Kin. We will continue to pursue these opportunities during the suspension period and remain confident we will deliver a transformational RTO for shareholders before 30 August," said Donald Stewart, the chairman of Kin.