The period of calm of Israeli companies listed on London’s Alternative Investment Market (AIM) appears to have come to an end with another company announcing its intention to delist from the market. The board of directors of Orpak Industries (1983) Ltd. (AIM:ORPK) announced that it will delist from the AIM at the end of April, a few days after the company's shareholders approved the measure at a general meeting.
ORT Technologies Ltd. (TASE:ORTC) subsidiary Orpak develops automated fuel payment systems, known as the Fuelomat, which is considered a market leader in the field.
A study by ''Globes'' has found that Orpak will be the 21st Israeli company to delist from the AIM. The company cited the significant ongoing costs associated with maintaining a listing on AIM; the relative inactivity, in ordinary share trading volume terms, of the AIM market; and the lighter regulatory burden which would be faced by the company following the cancellation, as the reasons for delisting its shares.
Other Israeli companies that have delisted from the AIM, all after very poor returns, include Benny Steinitz's Bateman Engineering NV (at the firm's initative, and after falling 93% from its IPO level) and Bateman Litwin NV (company iniative, fell 98% from IPO level) ; Yitzhak Tshuva-controlled Delek Real Estate Ltd. (TASE: DLKR) subsidiary Delek Global Real Estate Ltd. (company iniative, down 78%), Vigilant Technologies Ltd. (firm was acquired, fell 99% from IPO), Adamind Ltd. (fell 98% from IPO), Leadcom Integrated Solutions Ltd. (TASE:LEAD) (company iniatitve, down 91%), Nanette Real Estate Group NV (TASE:NANT.B1)(company initiative, down 91%) and Gilat Satcom Ltd. (company initiative, fell 26%).
Orpak's share price fell 1.3% in early trading today to ₤0.76, giving a market cap of ₤21 million.
Published by Globes [online], Israel business news - www.globes-online.com - on April 1, 2010
© Copyright of Globes Publisher Itonut (1983) Ltd. 2010