Delisting

Success fee  -?

Duration -?

Marketing Cost in Advance -?

Commitment -?

Mandate – Stamp paper agreement confirming the success fee. 

Delisting is the permanent removal of shares by the company from the stock exchange. A listed company’s shares get delisted voluntarily from the exchange for various reasons such as mergers and acquisitions or the need to go private etc. A company gets delisted involuntarily because of reasons like filing bankruptcy, failure to comply with exchange regulatory requirements, non-compliance with the listing guidelines, late filing of reports, and low share price, etc. 

Who gets benefited?

The company wants to go private in order to increase its authority.

How to book this and what is the process?

Book your appointment to discuss this with us. We will need your business/financial analysis report, financial model, valuation report, pitch-book/IM for the discussion. We will also explain the plan of action and the approach. We will sign an NDA and mandate after agreeing with the terms.

Benefits of Delisting

  1. Companies that are below their average industry profitability enjoy better share price appreciation after purchasing shares than companies with profitability above their industry average.
  2. Companies whose sales growth was below their industry average had a higher share price rise after the repurchase of shares than those whose sales growth was above their industry average.
  3. Rentable and development businesses that repurchase shares are a direct indicator to investors of the company’s strengths.
  4. Repurchasing businesses with lower debt ratios but sales growth rates above their average industry report significantly higher share price growth following repurchase than firms with above-average debt ratios but sales growth below their industry average.
  5.  Repurchasing companies with returns and debt ratios below their industry average display better share price growth after repurchasing than companies with income and debt ratios above their industry average
What do we do?

We have to work on a different plan for the delisting. It involves a big process, starting from regulation. We will explain it to you after we understand the company in detail once we get the mandate. 

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