Satellite communications equipment provider Global Invacom Group called for trading in its shares to be suspended on Tuesday, 23 October 2018, before the Singaporean stock market opened, revealing that its negotiations regarding a possible reverse acquisition are taking longer than expected.
Global Invacom had called for a trading halt before the market opened on Thursday, 18 October 2018, saying in an announcement that, “The company stresses that the acquisition remains subject to negotiation with various counterparties and completion of due diligence satisfactory to the group. Accordingly, there can be no guarantee that the acquisition will complete or on what terms. The company will make further announcements in due course.”
The call for the trading halt was in anticipation of the execution of a “definitive agreement relating to a transaction which, if completed, is expected to result in a very substantial acquisition or a reverse takeover of the company (Global Invacom),” it said in another announcement.
The Singapore mainboard-listed company said on 23 October that, “The negotiations and finalisation of the terms of the definitive agreement is still on-going and has taken longer than expected.” As a result Global Invacom has suspended trading until the negotiation is finalised.
Global Invacom is listed on both the Singapore Exchange and the London Stock Exchange’s Alternative Investment Market (AIM). Trading in its shares has also been suspended on the AIM until it can publish an admission document in relation to the acquisition or confirm that the acquisition is no longer in play.
Founded in 1985, Global Invacom was subject to a reverse takeover (RTO) in 2012 of United Kingdom-based satellite equipment company Global Invacom Holdings Limited, by SGX-ST-listed Radiance Group Limited. In 2014, shares of Global Invacom were admitted to trading on the AIM, and its admission to that exchange raised the company’s international profile and positioned it to continue its selective acquisition strategy as it seeks to consolidate a highly fragmented satellite communications and broadcast equipment marketplace.
Global Invacom operates seven manufacturing plants across the world, including in China, Israel, Malaysia, United Kingdom and the United States. Global Invacom products, which include satellite dishes, low noise blocks (LNBs), switches, video distribution components, waveguides, and electronic manufacturing services, are used in consumer electronics, communications, computer peripherals, and medical industries around the world.
