BATM Advanced Communications Ltd (LSE:BVC, OTC:BTAVF) is in talks with the indices body FTSE Russell about maintaining its membership of the FTSE UK Index series.
BATM’s nationality has been reassigned by FTSE Russell to Israel from the UK with the new assignment coming into effect on 21 March, at which time BATM will cease to be eligible for inclusion in FTSE UK indices.
The provider of real-time technologies for networking solutions and medical laboratory systems is seeking a delay to its shares exclusion but so far has had no joy in its talks with the indices compiler.
"We are very disappointed by the decision of FTSE Russell not to grant us a further extension and maintain our membership of the FTSE UK Index Series. We are puzzled by this decision as we have been in regular dialogue with them and had certain indications that it would be granted,” explained Zvi Marom, the chief executive officer of BATM.
"We are not the only company that has been denied this by virtue of our domicile and dual listing. A lack of pragmatism and blindness to the possibility of market disruption is fast becoming a deterrence for good foreign-domiciled companies to list on the London Stock Exchange, especially when other bourses do not have such draconian rules. We hope the lawmakers look at this again and become welcoming to global companies who wish to give investors in index-linked funds in the UK as well as those in their own countries the opportunity to invest in them,” he added.
Meanwhile, the board of BATM has approved a share buyback programme that, if rubber-stamped by shareholders, would give the company the option of buying up to 10% of the shares currently in issue.