C4X Discovery Holdings PLC (AIM:C4XD) CEO Clive Dix said the decision to delist the drug developer had not been taken lightly, but added the downturn in financial markets had impacted its "future ability to raise funds in the public markets".
In the release confirming these plans, he added: "The board believes the current public market valuation does not reflect the underlying potential of our business or our achievements to date and that this is unlikely to change in the short-to-medium term.
"We believe that we can potentially access a larger quantum of future funding required to accelerate our strategy as a private company and therefore we believe that a cancellation of the company's admission on AIM is in the best interest for shareholders and for the future of our business as a whole."
He pointed out that C4X had been given very little credit by the market for three transactions with major pharma companies, or recognition for its deal-making and scientific expertise.
A circular will be sent around on Wednesday setting out the background and reasons for the cancellation of its AIM quote and a general meeting convened for April 15.
The company's interim results revealed what a strong position financially the business is in. It exited the six months ended January 31 with £13.1m in the bank; however, this does not account for a milestone payment made by AstraZeneca worth £8.7m ($11m).
To put that into context, C4XD's market capitalisation was just shy of £30m before this announcement.