Hong Kong-listed Titan Petrochemicals has proposed to implement a capital organisation scheme to enhance its financial flexibility.
The proposed scheme involves share consolidation and capital reduction which will see every four existing shares of the company consolidated into one share.
The company will apply with the stock exchange for the listing of new shares when the reorganisation is completed.
According to Titan, given the company’s current trading price are below HK$0.1, the company is unable to conduct any fundraising activities. The capital reorganisation provide greater flexibity to the company to carry out fundraising exercises in the future.
Titan expects the capital reorganisation to be effective on June 30.