Wednesday, August 29, 2012

Why Relist A Delisted Company?

The norms for a relisting of the delisted company is same as is for the new listing ie. raise of equity capital to expand/grow business, provides an exit mechanism for shareholders (cash-in quickly), enhance company reputation, free media attention, easier equity fundings through corporate action, etc...
Lets see how the smart Astro does magic with the relisting exercise. Astro was delisted in 2010 at RM8.3 Billion and will be relisted soon around RM18.7 Billion in just two years later, for a cool RM10.0 Billion difference. And even cooler, the company is relisting without its overseas operations.
Ahahh. Stunned?

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