London & Associated Properties plc (LSE:LAS) shares dropped 24% after it announced plans to delist from the London Stock Exchange, citing low share liquidity and disproportionate costs.
The company said the decision follows a detailed review by the board, which concluded that the drawbacks of remaining listed outweighed the benefits.
The last day of trading is scheduled for 18 November.
Over the past year, the company said its shares averaged just 0.8 trades per day, with trading volumes representing only 5.2% of issued share capital.
The board also noted that limited liquidity has created volatility in the share price and market valuation, which it believes adversely impacts the company.
Annual cost savings from delisting are estimated at around £350,000.
As the company is listed under the equity shares category, shareholder approval is not required for the delisting, only a 20 business day notice period.
Following the delisting, LAP said shareholders will still retain full rights and the company will provide a matched bargain facility through JP Jenkins to allow continued share trading.