In a recent release, the company has stated that it has established a sale facility for small shareholders with holdings valued at less than A$500. This initiative by the company will facilitate these eligible shareholders to liquidate their holdings without incurring the costs of brokerage or other handling costs. This initiative will substantially reduce the administrative costs which are incurred by the group.
As on the record date which was the 4th of December 2018, the number of eligible shareholders was 230 who would be eligible for taking part in this sale facility with a holding of 781,234 shares in the Love Group which will be 1.90% of the total issued capital. This sale facility will be closed as on the 18th January 2019.
The shareholders if they wish can opt out of this sale facility in which case, they would continue to retain their shareholdings. However, if the shareholder has not submitted the retention form to the company, then in such case the shares will be sold through the sale facility if the individual’s holding is still below the stated eligibility benchmark. Hence in order to retain the shareholding an individual must full fill either of the two conditions – the first one being the completion and submission of the attached retention form or one must increase their shareholding in the stock so as they do not anymore fall with the eligibility criteria of small shareholder till the date of closure of the sale facility. It is to be noted that the retention form is to be filled for each of the small shareholding accounts even if those are held by a single Individual.
In case the shares are being sold as per the stated facility the proceeds shall be credited to the individuals account as soon as possible post the closure of the facility window.
The shareholders, those who would be taking part in this facility, their shares would be liquidated at a price which would be equal to the simple averages of the last trading prices of the previous ten trading days for the scrip, before the receipt of any offers by the company.
The company has also released a set of frequently asked questions which was attached to the Notification itself, which has got further details on this facility.
Meanwhile, the share price of the company has fallen by 84.91 percent in the past six months as on November 16, 2018. LVE’s shares last traded at $0.098 with a market capitalization of circa $4.03 Million.