Mechanical Lloyd to delist from Ghana Stock Exchange in April

Mechanical Lloyd Plc, the automobile firm, is scheduled to delist from the Ghana Stock Exchange (GSE) next month following a special resolution by shareholders during its last annual general meeting.

The delisting, the company says, is in line with its strategy to review its business model and structures to re-position it for the future.

Consequently, the company has made an offer to qualifying shareholders to purchase all their outstanding 16,900,487 ordinary shares at GH¢0.10 per share.

Mechanical Lloyd has indicated that the de-listing will not impact job security, day-to-day operations and relationships with stakeholders.

The delisting will reduce the number of companies listed on the bourse to 30 and increase the number of delistings from the GSE, both voluntary and enforced, to seven in the last three years.

Some market analysts have said the continuous de-listing of companies affects the interest and sentiments of investors towards the equities market.

Mechanical Lloyd has a total of 50.1 million shares issued on the bourse, with a total market capitalisation of GH¢4.51 million.