By
Daily Mail Reporter
Last updated at 9:19 AM on 17th November 2011
What is it?
De-listing is the opposite of
‘listing’, when a company begins to
trade shares on a stock exchange.
It is the process of removing a
company’s shares from an
exchange so that they cannot be
traded any more.
What does that mean?
Assuming that a company only
traded on one exchange and is
not listed elsewhere, it will
become privately owned by the
shareholders after de-listing.
Move: Tottenham will need to raise around £350million to build a new stadium
Why do they do it?
Normally, companies are floated
to raise money – but yesterday
Tottenham Hotspur football
club gave the same reason
for its planned de-listing.
Come again?
Public companies have to meet a
number of costly regulations. By
becoming private, the club reckons
it will free up that cash for
other uses.
In addition, few people
are currently willing to pump
money into AIM, Britain’s secondary
exchange, where the team
is listed.
What about the shareholders?
They will retain their stake. Private
trading can be done through
the club itself, which will match
up buyers and sellers.
Where will the money go?
Tottenham will need to raise
around £350million to build a new stadium
at Northumberland Park. It
is thought that privatising is a
sign it is ready to push ahead
with the project.
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