Reflec to leave AIM
REFLECTIVE inks firm Reflec is to delist its shares from the Alternative Investment Market after a year of pain which has seen its workforce take a cut in wages.
The Winsford-based group, which made a pre-tax loss of £156,000 for the year to February 28 as revenue dipped from £4m to £3m, said the recession had resulted in the financial markets closing for business as it struggled to raise cash.
The group said it had worked hard to improve its cash position and curtail future losses. The board has been restructured and moves have been taken to improve its intellectual property. Staff have also taken a voluntary 10% pay cut.
Nevertheless, chairman Tim Robinson said the lack of availability of credit had offset the group’s positive achievements, and it also had to sustain the significant costs of being listed.
He said these costs are making it even harder to raise finance and, as a result, the group is delisting from AIM but will remain as a public company.
He added that the delisting would reduce financial risk, free up resources for investment, increase commercial confidentiality and release management time for business development.
Mr Robinson said the board unanimously recommends shareholders, who have seen their investment more than halve over the last 10 months, vote in favour of the proposal at the group’s AGM.
