Morses Club shares were trading a whopping 220% higher at 1.5p as their potential delisting was questioned after major shareholder sold their stake in the company.
The doorstep lender had yesterday announced a proposal to delist from AIM. For the proposals to go ahead, 75% of shareholders are required to vote for the delisting. Yesterday, the company said they had the backing of 51% of shareholders.
However, the announcement today that JO Hambro Capital Management had sold their entire stake in the company will change the dynamics dramatically and raises the question whether the 75% threshold will be met.
Morses Club shares have suffered dearly since the beginning of the pandemic and the board say delisting will provide better access to private capital.