The promoters, who hold around 74 per cent stake in the company, have written to the board for delisting of shares as it will provide operational flexibility to the firm
PTI New Delhi Last Updated: February 29, 2020 | 21:58 IST
Domestic telecom gear maker Shyam Telecom on Saturday said it has sought shareholders’ approval for delisting of its shares.
The promoters, who hold around 74 per cent stake in the company, have written to the board for delisting of shares as it will provide operational flexibility to the firm, full ownership to the promoters and reduce cost of compliance incurred by a listed entity, it said in a regulatory filing.
“The Promoter and Promoter Group has informed the Company vide their letter dated November 04, 2019 of their intention to voluntary delist the equity shares of the Company from the Stock Exchanges in accordance with the provisions of the Securities and Exchange Board of India (Delisting of Equity Shares) Regulations, 2009,” it said.
The company had posted a loss of Rs 1.35 crore for the quarter ended December 2019, compared to a profit of Rs 57 lakh in the same period a year ago.
“The approval of the shareholders is sought for the aforesaid Special Resolution, after which the Promoters will proceed at their discretion, to make an offer to the shareholders of the Company and purchase the shares at an exit price in accordance with the provisions of the SEBI Delisting Regulations,” it added.
Shyam Telecom has fixed March 28 as the last date for submission of postal ballot to vote on the resolution for delisting of shares.