Business
Cancellation of admission to
Cancellation of admission to.
About this update from Ithaca Energy Plc
[{"type":"text","content":"\n RNS Number : 3544K ITIS Holdings PLC 18 December 2008 \n\nITIS Holdings PLC\n18 December 2008\n\n\n\nITIS Holdings plc ('ITIS', the 'Company' or the 'Group')\n\nCancellation of admission to trading on AIM ('Cancellation') \n \n\n\nIntroduction\n\nITIS, the AIM quoted provider of real time traffic information services announces today that it has notified the London Stock Exchange of the proposed cancellation of trading of the Company's shares on AIM to focus on continuing to grow the inherent value of the Company across a range of markets. It will also carry out a strategic review to consider how to best maximise shareholder value and enhance the Company's ability to meet the needs of its customers. \n\nAs part of that process, the Board has engaged Rothschild to help it review the alternatives available to develop the Group beyond its organic growth plan. These alternatives include a merger, strategic partnership or a sale of the Group, and this process may or may not lead to an offer for the Group.\n\nIn accordance with the AIM Rules, a circular is today being sent to shareholders of the Company ('Shareholders') explaining the rationale behind the Cancellation, the reasons for and background to the proposal and convening a general meeting for the purpose of approving the Cancellation (the 'General Meeting'). \n\n\nBackground to and rationale for the Cancellation and Strategic Review \n\nFollowing careful consideration, the Directors have concluded that it is no longer in the best interests of the Company or its Shareholders to maintain the admission to trading on AIM of the Ordinary Shares. The current economic crisis has led to significant falls in the values of the global stock markets, which have been exaggerated in small cap, low liquidity stocks.\n\nIt is the opinion of the Directors that in the acute market turmoil the Company's current market capitalisation has become completely disassociated from the inherent value of the Company. Whilst there are many factors affecting a company's share price, the impact of the generally depressed nature of the automotive sector has been exacerbated by the Company's small free float r...