Crimson Tide seeks shareholder approval for capital reconstruction

Crimson Tide said on Wednesday that it has called a general meeting as it looks to get shareholder approval for a capital reconstruction.

The mobile data products company said the purpose of the reconstruction is to create positive retained earnings in the balance sheet to allow it, if appropriate, to pay dividends in the future.

It will also be seeking shareholder approval for share buy backs and will be eliminating its deferred shares.

The general meeting will be held on 26 January 2016.

Executive chairman Barrie Whipp said: "Considering the company's recent performance, we have decided to undertake this exercise which will, at the discretion of the directors, allow dividends to be considered for the first time since we came to AIM.

“Coupled with the elimination of the deferred shares (a relic from the company we reversed into when coming to AIM) and the ability for the company to, if appropriate, buy back shares the company's balance sheet will be regularised and robust "