The Philippine Stock Exchange ordered the delisting of embattled Calata Corp. from the official registry of the exchange for committing multiple violations of the exchange’s disclosure rules.
The PSE in a memorandum also ordered Calata to conduct a tender offer to the minority shareholders of the company.
“Please be informed that, following the conclusion of the involuntary delisting involving the company, the exchange issued a decision dated November 3 ordering the delisting of the company’s shares from the official registry of the exchange and imposition of the concomitant penalties under the exchange’s delisting rules,” PSE president Ramon Monzon said.
The exchange has not yet set the actual delisting date pending the tender offer to be conducted by the company to minority shareholders as of June 2017.
The PSE said the tender offer would provide the minority shareholders an exit mechanism before the company is officially delisted. Trading of Calata shares will remain suspended.
“The exchange will notify the investing public of further development of the said tender offer and shall issue a separate announcement on the effective date of the delisting,” the PSE said.
The public float of Calata currently stands as 61.53 percent with minority shareholders owning 350.934 million shares in the company.
Shares of Calata was last traded on June 30 when it closed at P2.04. This means Calata, based on the stock’s last closing price, must raise P716 million if all minority shareholders will tender their shares.
Calata president Joseph Calata earlier conceded the company was not capable of conducting a tender offer due to lack of sufficient retained earnings to fund the buyback. Calata had just around P400 million in retained earnings as of end 2016. Jenniffer B. Austria
