Prolong suspension in trading of shares may be caused by, (i) failure to maintain sufficient level of operations to warrant the continued listing status of the listed company; (ii) failure to assess the financial position of the listed company possibly due to qualified audit opinion where the auditor is unable to express an opinion on whether the listed company has been able to maintain proper books and records and resulting in delay in release of financial information; and/or (iii) the need to address governance related concerns. Continuation of suspension for a prolonged period without taking adequate action to obtain restoration of listing may lead to the cancellation of listing by the Stock Exchange.
Veda Capital assists these companies in the preparation of a resumption proposal with the following subject to different cases:
involving a white knight acquiring the listed company's control by subscribing a substantial amount of new securities for cash consideration, and reactivating the company by starting an operating business;
seek for potential investor and carry out fund raising activities;
seek for vendor with operating business to be injected into the listed company to restore its level of operations and enlarge its asset base; and
arrange reviews of systems and controls of the listed company and obtain an independent confirmation that the directors have established procedures which provide a reasonable basis for them to make proper judgments with respect to the company's continuing obligations under the Listing Rules;