West Perth-based Palandri Ltd will seek a listing on the Australian Stock Exchange following unanimous shareholder backing for the move at the company's AGM in Sydney today.
Shareholders approved a resolution for the Company to cancel the admission of its fully paid ordinary shares to the AIM market of the London Stock Exchange.
Palandri has decided to move from AIM to the more regulated Australian public company environment so that its stock gains greater liquidity and better reflects its growing net asset base.
Chief executive Darrel Jarvis says the company is in the ideal position to re-list on the ASX given the immense growth this past year. Palandri has already commenced the due diligence and prospectus preparation required for the ASX listing.
The company has been listed on the AIM since June 2004 but will cease trading on December 22 and will seek admission to the Official List of the ASX - along with a public raising to supplement its financial position and provide additional working capital during 2007.
"The timing is important now our equity has grown to $40.9 million, (11 per cent) and total assets to $95.6 million (12 per cent). We recorded strong financial results for 2005-06 with a 445 per cent growth in profit after tax to $4.1 million, while pre-tax profit was $6.4 million (up 234 per cent). The results were Palandri's seventh consecutive full year profit since its establishment in 1999. We are in a very strong position," says Mr Jarvis.
The company recorded significantly increased revenues of $42.7 million, up by 37 per cent, with wine sales alone leaping 92 per cent. It is now the largest exporter of Western Australian wines, a position which will be further boosted by the 45,000 case Canadian order announced this week.
The wine is being exported to Ontario in a revolutionary new eco-friendly packaging concept that is fully recyclable and easily stored and discarded. The 'Cheer Pack' stored wine is a world first.
Mr Jarvis says a listing of Palandri on the ASX would make it one of a small group of public wine businesses and allow investors more long-term exposure to the sector.
