Falgold suspended from ZSE trading
The Zimbabwe Stock Exchange, ZSE, has suspended trading in Falcon Gold Zimbabwe’s (Falgold) shares with effect from yesterday after the firm failed to publish its financial statements on time.
According to section 64 (1) (a) (ii) of the Securities and Exchange Act [Cap 24:25] firms listed on the ZSE are required to publish half-year and full year financial statements and constantly update shareholders on any activities or developments that might affect the share price.
As a result of Falgold’s failure to publish results on time trading has been suspended.
“The Zimbabwe Stock Exchange Limited (“ZSE”) hereby notifies the investing public of the voluntary suspension from trading in shares of Falcon Gold Zimbabwe Limited with effect from 02 March 2020 pending publication of audited financial results for the year ended 30 September 2019 and a circular to shareholders regarding the proposed termination of listing,” said the ZSE in a notice to the trading public.
ZSE chief executive officer Justin Bgoni said that in terms of Section 9 of the ZSE Listings Requirements, Falgold is expected to continually carry out its responsibilities to the Shareholders and the ZSE during the suspension until the termination of listing is finalised.
Early this year, Falgold had previously declared in a notice to shareholders that the audit for the financial statements was still being conducted with results expected to be finalised before January 31, 2020.
However, as of March 2, 2020 the company’s financial statements are yet to be released.
The firm which is a subsidiary of Canadian based New Dawn Mining Group has now requested ZSE to suspend trading in Falcon Gold Zimbabwe Limited’s shares as a result.
The suspension comes as Falgold had already indicated intention to delist from the ZSE arguing that it was struggling to mobilise capital to inject into its operations.
Established in 1991, Falgold primarily explores for gold, base metals and precious metals and has an operational processing plant and ancillary infrastructure which supports a central processing plant that treats ore from its Pickstone Mine.–herald.co.zw
