OREANDA-NEWS. The Stock Exchange of Hong Kong Limited (the “Exchange”) places China Lumena New Materials Corp (the “Company”) into the third delisting stage today. If no viable resumption proposal is received by the end of the third delisting stage (i.e. 7 October 2016), the Company’s listing will be cancelled.

Trading of the Company’s shares was suspended on 25 March 2014 initially pending a clarification announcement on some market analysts’ reports alleging that the Company had misrepresentations in its IPO prospectus and subsequent financial statements.

By 13 March 2015 the Exchange was of the view that the Company did not comply with the requirement to have sufficient operations or assets under Rule 13.24. The Exchange placed the Company into the first and second delisting stages on 13 March and 17 September 2015 respectively.  At the end of the second delisting stage on 16 March 2016, the Company did not provide a viable resumption proposal.  Therefore, the Exchange has decided to place the Company into the third delisting stage under Practice Note 17 to the Listing Rules.

The Company will have a final six months to provide a viable resumption proposal to demonstrate sufficient operations or assets as required under Rule 13.24 and to have the winding up petition against the Company withdrawn or dismissed and the provisional liquidators discharged.

The Company must also:

(a) address the alleged irregularities and inform the market of material information;
 
(b) publish all outstanding financial results and address any audit qualifications; and
 
(c) demonstrate that it has put in place adequate financial reporting procedures and internal control systems to meet its obligations under the Listing Rules.

If no viable resumption proposal is received by the end of the third delisting stage (i.e. 7 October 2016), the Company’s listing will be cancelled.  The Exchange will make a further announcement if the delisting takes place.