BELLAMY'S PLEA FOR LONGER SHARES SUSPENSION
21 December 2016, Written by Business News Australia
FOLLOWING suspension of its shares earlier this month, Bellamy's (ASX: BAL) has requested for the hiatus to be extended into the new year.
The infant formula maker made the request to extend its share suspension until 13 January 2017 at the latest.
Underpinning the request, Bellamy's intends to finalise a number of negotiations with manufacturers and suppliers before reinstating on the ASX.
Bega Cheese (ASX: BGA), supplier to Bellamy's, issued a statement following the request, where it stated both companies will continue to discuss supply arrangements and volume forecasts.
Bellamy's hit its lowest point when shares almost halved after its December 2 market announcement that sales were falling, EBIT margins were declining and performance in China failed to meet expectations.
As a result, its market value dropped by more than $500 million within two days.
Slater and Gordon is one among three class action specialists currently investigating the viability of a claim against Bellamy's, on behalf of those affected by the severe sharemarket topple.
The ASX has yet to respond to Bellamy's request for an extension.
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Author: Business News Australia