Stockford told to ‘please explain’ by ASX
The woes of troubled accounting and financial planning consolidatorStockfordhave continued, with the group issued with a ‘please explain’ by theAustralian Stock Exchange(ASX) this week after its share price plunged to new depths.
The ASX issued the price query after Stockford’s shares fell by more than 60 per cent, from 7.5 cents at close of trading last Thursday to 2.8 cents at midday this Wednesday.
In a statement responding to the ASX’s query, Stockford said the “price fall would appear to be directly linked to the recent announcements made by Stockford”.
Last Friday, Stockford announced it was in negotiations with the Investor Group dealership in regard to the sale of a number of its businesses.
The ASX also queried various “road shows” that Stockford has been conducting for some of its principals in relation to the discussions with Investor Group.
Stockford says the road shows have focused on the “future plans and employment arrangements that would apply to the principals if the current discussion between Stockford and IGP resulted in the entry by the parties into a sale agreement”.
Stockford says the principals have not been provided with any information concerning the sale negotiations or the proposed terms of the sale.
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