SEC issues directives over Adam Investments, PC Pharma and PCH Holdings
Friday, 15 August 2014 00:11
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The Securities and Exchange Commission (SEC) yesterday issued several directives to Adam Investments Plc following recent developments including original sale of its stake in PC Pharma and subsequent reversal and its mandatory offers including on PCH Holdings.
At their meeting held earlier this week, SEC Commissioners had deliberated on the consequential losses that may arise out of the cancellation of trades of PC Pharma on 7 August effected by SEC directive early in this week. This was because AINV acted in violation of the SEC Takeovers and Mergers Code.
The SEC in one of its directive issued yesterday said in furtherance of protection of interest of investors, the Commissioner decided to direct AINV to compensate investors if any who has suffered consequential losses as a result of the cancelled trades falling within the period (2:12 p.m. and 2:30 p.m.).SEC said AINV will have to settle any qualified claims within one calendar month.
In response to application made by AINV to withdraw from the mandatory offer made in respect of PCH Holdings., the SEC has decided to allow a temporary suspension of the mandatory offer until the final determination of the Case No HC/Civil/23/2014/CO.
During the temporary suspension of the mandatory offer SEC directed AINV to refrain from trading in shares of PCHH without prior approval of the SEC, to acquiesce from exercising the voting rights attached to shares of 30% and over the total shareholding of PCHH and to make an immediate market disclosure stating that mandatory offer to PCHH is suspended.
Pending the final determination of Court in respect of the ownership of Beico Link Carbons Ltd., in Case No HC/Civil/23/2014/CO, the AINV was directed by SEC to revert to the Commission for a decision in respect of the mandatory offer made to PCHH upon final determination of the Commercial High Court and to refrain from trading on the shares of PCHH till the final determination of the Commission in respect of the mandatory offer.
