SHEFFIELD UTD
Sheffield United plans to delist from AIM
Sheffield United PLC said it has applied for cancellation of its listing on the Alternative Investment Market of the London Stock Exchange as it believes that the current economic environment means there is little benefit to the club and its shareholders in remaining listed.
The football, property, leisure and services company said the low liquidity of the shares in Sheffield United leads to a volatility in the share price which may not reflect the true worth of the group. Also, the susceptibility of the share price to current market conditions is not to the benefit of the business.
Like most other listed football clubs, Sheffield United finds itself unable to raise capital from institutional investors as they remain uninterested in committing funds to companies in the football industry coupled with the present problems of the markets. The directors do not expect this situation to change in the foreseeable future.
Chairman Kevin McCabe commented: "By delisting we will reduce costs and will make it easier to reposition the company to better achieve our aspirations, which include promotion back to the Premier League for Sheffield United."
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