Genetic Technologies Limited - Suspension of Deferred Shares - 16 September 2024
GTG (GTG) Share Update September 2024 Monday 16th
Genetic Technologies Limited Faces Suspension of Deferred Shares
Genetic Technologies Limited (ASX: GTG) has announced the immediate suspension of its ordinary fully paid deferred shares (ASX: GTGN) from quotation due to the minimum subscription condition under the Non-Renounceable Entitlement Offer not being met.
Instant Summary:
- Immediate suspension of GTG's deferred shares (ASX: GTGN).
- Minimum subscription condition under the Non-Renounceable Entitlement Offer not met.
- Suspension does not affect other quoted securities of GTG.
Suspension Details
On 16 September 2024, Genetic Technologies Limited (GTG) announced that its ordinary fully paid deferred shares, trading under the code ASX: GTGN, would be suspended from quotation immediately. This suspension is in accordance with Listing Rule 17.3.
The primary reason for this suspension is the failure to meet the minimum subscription condition under the company's Non-Renounceable Entitlement Offer. This condition is crucial for the continuation of the offer, and its non-fulfillment has led to the immediate suspension of the deferred shares.
Scope of Suspension
It is important to note that this suspension applies exclusively to the deferred shares (ASX: GTGN) and does not extend to any other quoted securities of Genetic Technologies Limited. This means that other securities issued by GTG will continue to be traded as usual.
Issued by ASX Compliance
The announcement was issued by ASX Compliance, ensuring that the information is accurate and in line with regulatory requirements. This measure aims to maintain transparency and protect the interests of investors.
The suspension of GTG's deferred shares is likely to have a negative impact on investor confidence in the short term. The failure to meet the minimum subscription condition under the Non-Renounceable Entitlement Offer may raise concerns about the company's financial health and its ability to attract investor interest. This could lead to a potential decline in the stock price of GTG as investors reassess their positions.
Investor Reaction:
Analysts are expected to react cautiously to this announcement. The unmet subscription condition may be seen as a red flag, prompting some investors to reconsider their investments in Genetic Technologies Limited. However, the fact that the suspension does not affect other quoted securities of GTG may provide some reassurance to investors.
Conclusion:
Investors should closely monitor further announcements from Genetic Technologies Limited regarding the status of the Non-Renounceable Entitlement Offer and any potential impacts on the company's financial position. Staying informed will be crucial for making well-informed investment decisions in light of this recent development.