ANNOUNCEMENT
In relation to the matter of Yaohan Hongkong Corporation Limited (in liquidation)
proceeding to the third stage of the de-listing procedure
as stipulated under Practice Note 17 of
the Exchange Listing Rules
|
The Stock Exchange of Hong Kong announces that, effective from the date of this announcement, Yaohan Hongkong Corporation Limited (in liquidation) will be placed in the third stage of the De-listing Procedure in accordance with Practice Note 17 of the Exchange Listing Rules.
Pursuant to the De-listing Procedure, the Company will be given a final six months for the submission of a valid resumption proposal. If the Company does not submit a valid resumption proposal by September 15, 1999 , being six months from the date of this announcement, the Exchange intends to cancel the listing of the Company.
|
The Exchange announces that, effective from the date of this announcement, the Company will be placed in the third stage of the De-listing Procedure in accordance with Practice Note 17 of the Exchange Listing Rules. Practice Note 17 formalises the procedure to be adopted in dealing with long suspended companies.
Trading of shares in the Company has been suspended since September 18, 1997. The Company filed for liquidation on February 9, 1998. Therefore, the Company's shares have effectively been suspended for approximately eighteen months. Since its suspension, the Company has not been able to implement a valid resumption proposal. A valid resumption proposal means a proposal that, if it were implemented, would enable an issuer to demonstrate that it complies with paragraph 38 of its Listing Agreement with the Exchange. Paragraph 38 of the Listing Agreement requires an issuer to carry out a sufficient level of operations or have tangible assets of sufficient value and/or intangible assets for which a sufficient potential value can be demonstrated to warrant the continued listing of the issuer’s securities on the Exchange.
As the Company is in liquidation, all operations of the Company have ceased. The Company’s only major assets are its investments (and related receivables) in three of its wholly-owned subsidiaries, Yaohan Department Store (H.K.) Limited, Profa Studio Company Limited and Yaohan Trading Company Limited. Further, these three subsidiaries are all in liquidation and it is anticipated that there will not be any significant recovery of assets from them. Accordingly, the Company will now proceed to the third stage of the De-listing Procedure. The Company will be given a final six months for the submission of a valid resumption proposal. If the Company does not submit a valid resumption proposal by September 15, 1999, the Exchange intends to cancel the listing of the Company.
The Exchange will make a further announcement in due course if the de-listing takes place.
Corporate Communications Department