SafeStyle suspended from trading as uncertainty grows

27th Oct 2023 07:54

(Sharecast News) - Replacement window and door specialist SafeStyle UK confirmed the suspension of its shares from trading on Friday in an update on its efforts to secure its future.

The AIM company recently revealed concerns about the viability of a proposed sale.

In its latest update, SafeStyle expressed growing scepticism among directors about the likelihood of any proposed sale, even if it were to happen, resulting in shareholder benefits.

It said the scepticism was rooted in the group's ongoing financial uncertainty and limited working capital.

As a result, and in a move aimed at safeguarding its position, SafeStyle UK said it had formally requested the suspension of trading of its shares on AIM as of 0730 BST on Friday.

SafeStyle had previously outlined its intentions, including the possibility of a capital injection, new financing, or a sale of shares and assets, in an announcement on 10 October.

However, based on discussions held since then, the company did not anticipate securing a capital injection or new financing.

While the directors were engaged in discussions with a select group of interested parties regarding a potential sale of some or all of the group's business and assets, the outcome remained uncertain.

Reporting by Josh White for Sharecast.com.