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The Markets
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Kin Group's reverse takeover talks focused on the software sector

You can't stay listed as a pure cash shell forever and from tomorrow Kin's listing on AIM will be suspended until it effects a reverse takeover

Cash shell Kin Group Plc (LON:KIN) ended 2017 with £836,000 in cash.

As mentioned last week, the company remains in discussions with a number of interesting businesses in the software sector but will not be in a position to complete any of these deals by the end of this month, which will mark the six-month anniversary of when it became a cash shell, as defined by AIM rules.

READ: Kin Group remains in talks to effect a reverse takeover

Under AIM rules, trading in the company’s shares will be suspended until such time as it completes a deal or another six months passes; in the event of the latter, the company’s stock exchange listing will be terminated.

The board remains confident that the company will deliver a transformational reverse takeover for shareholders to consider before 30 August 2018.

READ: Kin Group becomes 'cash shell' as administrators appointed to wellness business, discussions continue on possible placing

The cash shell is under new management following the collapse of the previous business model, which was focused on digital “wellness” solutions for the corporate market.

The previous business collapsed into administration in August making the full-year numbers largely irrelevant, but for the record the company had zero revenue in 2017 and made a loss before tax of £384,000, compared to a loss the year before of £2.9mln.

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