Memstar Technology has requested to convert its trading halt announced on Monday to a voluntary suspension with immediate effect pending negotiation on revising key terms of a proposed reverse takeover of Longmen Group.
The membrane maker says on Thursday that discussions were preliminary at this stage and advises shareholders that there was no certainty that the parties would be able to reach an agreement.
Memstar had proposed to acquire all of natural gas developer Longmen Group for US$420 million ($584 million) in an all-share deal last December. It has since signed three supplemental agreements between February and July this year on the proposed deal.
Memstar says that following the third supplemental sale and purchase agreement, Longmen Group was required to procure the fourth tranche of fund-raising for working capital requirement. However, due to fundraising challenges, Longmen Group has informed the firm that it intends to temporarily suspend the proposed acquisition, says Memstar.
Memstar last traded at 1.2 cents on Sept 4.
Click Here To Register For Free Trial Services OR Give A Missed Call : +6531581402 Follow Us On Twitter : www.twitter.com/epicresearchsg Like Us On Facebook : www.facebook.com/EpicResearchSingapore Need Any Assistance Feel Free To Mail Us at : info@epicresearch.sg
The membrane maker says on Thursday that discussions were preliminary at this stage and advises shareholders that there was no certainty that the parties would be able to reach an agreement.
Memstar had proposed to acquire all of natural gas developer Longmen Group for US$420 million ($584 million) in an all-share deal last December. It has since signed three supplemental agreements between February and July this year on the proposed deal.
Memstar says that following the third supplemental sale and purchase agreement, Longmen Group was required to procure the fourth tranche of fund-raising for working capital requirement. However, due to fundraising challenges, Longmen Group has informed the firm that it intends to temporarily suspend the proposed acquisition, says Memstar.
Memstar last traded at 1.2 cents on Sept 4.
Click Here To Register For Free Trial Services OR Give A Missed Call : +6531581402 Follow Us On Twitter : www.twitter.com/epicresearchsg Like Us On Facebook : www.facebook.com/EpicResearchSingapore Need Any Assistance Feel Free To Mail Us at : info@epicresearch.sg
0 comments:
Post a Comment