Hong Kong-headquartered CLSA Premium Limited, a foreign exchange (forex) broker, has scheduled its second emergency general meeting (EGM) to decide on the proposed winding up of its business.
In a filing submitted to the Hong Kong stock exchange (HKEX), the brokerage announced the scheduled voting date for December 2.
This is the second time CLSA shareholders are deciding on the winding up of the brokerage business. The previous proposal went under voting in July, and a majority of shareholders the wind up of business.
What Will Be the Shareholders’ Decision?
It is to be noted that to pass any such requisition proposal, 75 percent of the votes need to be in favor of it.
Despite the decision, the same shareholder of the brokerage to put forward a vote to wind up its operations. The brokerage also revealed that the Requisitionist is currently holding 300 million shares, representing approximately 14.75 percent of CLSA’s issued shared capital.
“THAT in view of the failure by the Company to comply with Rule 13.24 of the Rules Governing the Listing of Securities on the Stock Exchange of Hong Kong Limited due to its insufficient level of operations and its poor financial situation, the Company be wound up by the Grand Court of the Cayman Islands and the available surplus assets on liquidation be distributed amongst the members of the Company in accordance with its articles of association and the Companies Law (2020 Revision),” the requisition request proposed.
The CLSA board approved the voting process on the requisition request to honor the shareholder’s rights.
Meanwhile, New Zealand’s Financial Markets Authority (FMA) has on CLSA’s derivatives issuer license in September as the company’s auditor failed to complete the audit work for its local subsidiary.
Be First to Comment