Electronic security and home management systems developer Visonic Ltd. (LSE: VSC; TASE:VSC) today announced that it will delist from the London Stock Exchange, effective on March 5.
The company also published a business update for the second half of 2009. The company posted $42.8 million, 6.2% more than in the second half 2009. Full year revenue rose 0.7% to $85.5 million in 2009, despite the global downturn.
Visonic had more than $22 million in cash reserves at the end of 2009, up $15 million from the end of 2008. The increase was due to a $4 million tax refund, and $11 million from business operations.
Visonic was founded by Moshe and his brother, chairman Yaacov Kotlicki, in 1973. The company has 540 employees, including 450 in Israel. The company made a point of saying that its improved business results were achieved without reducing staff numbers or changing the company's long term commitment to its R&D program, which it considers fundamental to maintaining its competitive advantage in the market and a crucial investment in the future business success.
The company went public in London in early 2004, raising $18 million at ₤0.88 per share. It dual-listed on the TASE in 2006. The share fell 5.6% today in London to ₤0.68, giving a market cap of ₤28 million. The share fell 2.2% on the TASE to NIS 4.65.
Visonic president and CEO Avi Barir joined the company last week, after previously serving as VP software DRM at Aladdin Knowledge Systems. He told "Globes", "The delisting is for technical reasons. The LSE requires a float of at least 25%, and the company's controlling shareholder own just over 75% of the shares, and we didn’t meet the LSE's criterion. This is more a matter of the shareholders' wishes rather than a matter of the company, so before the LSE ousted us we decided to voluntarily delist."
Published by Globes [online], Israel business news - www.globes-online.com - on January 11, 2010
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