Danakali moves to cancel ordinary shares listing from LSE

Published On: August 12, 2021Categories: Stocks & Shares1.5 min read

It comes as around 97% of DNK’s current UK institutional investors are opting to invest on the ASX through their nominees

Danakali Ltd has requested to cancel the admission of its ordinary shares from the London Stock Exchange in a move described as being in the interests of shareholders.

The move will increase administrative efficiencies for the company with respect to completing its full funding solution.

It comes as around 97% of DNK’s current UK institutional investors are opting to invest on the Australian Securities Exchange (ASX) through their nominees.

Stakeholder support for the decision was received from Eritrean National Mining Corporation (ENAMCO), Afreximbank (AFX), African Finance Corporation (AFC), major shareholders of DNK and other key stakeholders.

Danakali will retain the listing of its ordinary shares on the ASX.

In accordance with the UK’s Financial Conduct Authority (FCA) Listing Rule 5.2.4R, Danakali has requested that the FCA cancel the admission of the company’s ordinary shares to the Standard Segment of the Official List, and has informed the London Stock Exchange (LSE) of such cancellation in accordance with Section 4.18 of the LSE’s Admission and Disclosure Standards.

It is expected that the admission of the company’s ordinary shares to the Standard Segment of the Official List and to trading on the LSE’s Main Market for listed securities will be cancelled with effect from on September 24.

Danakali advises holders of depositary Interests in respect of its ordinary shares of its intention to terminate the depositary interest facility constituting those depositary interests.

Computershare Investor Services PLC shall cease to act as depositary for the purpose of issuing Danakali depositary interests with effect from the close of business on September 23.

In June Danakali confirmed the proposed production rates at its low-cost Colluli Potash Project in East Africa after test-work outlined a path to lower operating and capital costs.

Colluli Mining Share Company (CMSC), a joint venture vehicle with ownership split between Danakali and ENAMCO, conducted the extensive test-work program over a six-month timeframe.

About the Author: Jonathan Adams

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