Swiss Steel to delist stock shares

Swiss Steel Holding AG reportedly intends to voluntarily delist from the SIX Swiss Exchange stock market.

The Switzerland-based company, which operates recycled-content specialty steel mills in Europe and North America, including Finkl Steel in Chicago, plans to apply for an off-exchange trading opportunity, also known as over-the-counter (OTC) trading, for its shares.

“Over recent years, Swiss Steel Group has undergone significant restructuring and reorganization efforts, resulting in a shareholder structure characterized by a small number of large, long-term investors,” the firm says in a late January news release. “Consequently, the SIX-listed shares have a low free float and limited trading volume, leading to an illiquid market for the company’s shares."

The company's board of directors has determined the benefits of maintaining a listing on the exchange are "outweighed by the comparatively high costs and administrative efforts required to sustain it.”

Swiss Steel says its voluntary delisting can help it allocate resources more effectively toward restructuring and operational improvements, noting that the decision is not influenced by short-term external factors or "the economic situation.”

Shareholders have been invited to an extraordinary general meeting (EGM) Feb. 17.

“If the delisting is approved at the EGM, the board of directors will oversee its implementation in compliance with Swiss law and established practice,” Swiss Steel says. That process includes submitting a delisting application to the SIX regulatory board, which can determine the final trading date for Swiss Steel share on the Swiss stock exchange.