Chaarat appoints share trading facilitator ahead of planned AIM delisting

Kyrgyz Republic-focussed mining explorer and developer Chaarat Gold announced the appointment of Asset Match to facilitate secondary trading in its shares in an update on Monday.

The AIM-traded firm said the appointment followed the proposed cancellation of admission to trading on AIM, subject to shareholder approval.

Following the receipt of a $0.25m initial advance from the issue of additional notes, Chaarat's current cash balance stood at about $0.4m.

The board said that was sufficient to cover the company's operational and corporate needs until the planned cancellation date of 16 August.

If shareholders approve the resolutions at the general meeting on 8 August, further drawdowns on the $5m facility would be available post-cancellation.

The directors unanimously recommended that shareholders vote in favour of the resolutions, warning that failure to approve the resolutions would likely force the company into immediate insolvency proceedings, resulting in a complete loss of shareholder investments and an immediate suspension of trading.

Even if the cancellation was approved, Chaarat said its ordinary shares would remain listed on AIM and could be traded until the close of trading on 15 August.

Post-delisting, the shares would be traded on a secondary trading facility operated by Asset Match, an FCA-authorised firm.

That facility would enable shareholders and new investors to trade shares through periodic auctions, matching buyers and sellers, the board explained.

It encouraged shareholders to register on Asset Match’s website and add Chaarat Gold Holdings to their watchlist for updates and auction information.

The platform operates an open auction system where bid and offer volumes at different prices are displayed, with a non-discretionary algorithm determining a single clearing price based on supply and demand.

At 1134 BST, shares in Chaarat Gold Holdings were down 6% at 0.19p.

Reporting by Josh White for Sharecast.com.