Allergy Therapeutics proposes AIM delisting with 75% shareholder approval
Key Facts
Allergy Therapeutics said on 3 November 2026 that it would propose cancelling the admission of its ordinary shares to trading on AIM and re-registering as a private limited company. The delisting will not take effect upon announcement, as it requires shareholder approval of special resolutions at the company’s annual general meeting. The board said it had unanimously concluded that the cancellation and re-registration were in the best interests of the company and its shareholders. The proposal could end the company’s listing on the London Stock Exchange market for smaller companies, but leaves the final decision to shareholders. The company said its reasons included market conditions, weak liquidity and listing costs, as well as the difficulty of raising substantial additional funding through AIM.
The company said the current market capitalisation, in the directors’ assessment, does not reflect Allergy Therapeutics’ value, given financial market conditions, a limited free float and weak liquidity. Management believes these factors constrain trading in the shares and reduce the benefits the listing can offer shareholders. It also said maintaining an AIM listing entails ongoing costs, consumes management time and adds a regulatory burden. The company believes the time and costs saved after cancellation could benefit the company and its shareholders. It did not specify the amount of these costs or the expected financial impact of the savings.
On funding, the directors said it would be difficult to raise substantial additional equity through AIM in the short or medium term. They added that funding might not be available at a valuation acceptable to shareholders, or might not be available at all. This means the company does not view continued listing as a practical guarantee of access to substantial funding on suitable terms, according to its board’s assessment. The assessment comes after the company forecast in its 29 July update annual revenue of 59.9 million pounds for the year ended 30 June 2026, up 9% from 55.0 million pounds in the previous year. It also forecast second-half revenue for fiscal 2026 of 23.6 million pounds, compared with 21.0 million pounds in the corresponding period, representing reported growth of more than 12%.
In the same update, the company said its unaudited cash balance was 24.2 million pounds on 30 June 2026, compared with 12.8 million pounds on the same date in 2025. Chief Executive Manuel Llobet attributed the acceleration in second-half revenue growth to the strength of its registered product portfolio in Germany as the regulatory transition neared completion. The company said that year would be the first in which it benefited from a full peak season following the launch of Grassmuno. It also forecast double-digit annual revenue growth for the year ending 30 June 2027. These figures remain forecasts and previous updates, while the new announcement focuses on the company’s structure and share listing.
The company’s shares fell 58.57% at the 3 November close to 1.45 pence, compared with a close of 3.5 pence on 2 November. The proposals to cancel the listing and re-register will be put to shareholders as special resolutions at the annual general meeting. Delisting requires the support of at least 75% of votes cast, under Rule 41 of the AIM Rules. The company said major shareholders had expressed support and intended to vote in favour of the resolutions. If approved, the company expects the last day of trading on AIM to be about five business days after approval.
Allergy Therapeutics plans to make a matched bargain trading facility available to shareholders after the cancellation, allowing shares to be traded through an arrangement matching buy and sell orders. The company did not specify in its announcement how this facility would affect share liquidity after delisting. Regardless of the vote’s outcome, it said it would continue to explore a primary listing on the Hong Kong Stock Exchange. It also plans to send shareholders a detailed circular with the notice of the annual general meeting. The circular will include the proposal’s background, reasons, timetable and implications.