Galaxy Resources has been forced to call off its listing on the Hong Kong Stock Exchange due to the unfavourable market conditions. The shares of the lithium mining have since fallen to $1.14, Tuesday midday (AEST). The Australian listed company was hoping for a dual listing in Hong Kong this quarter.
Managing Director of Galaxy Resources Iggy Tan said that while the company was very disappointed at having to delay the Hong Kong IPO, however it was a prudent decision in the light of the serious international events and related market volatility.
He added that given the company’s strong financial position, they saw no necessity to launch the IPO in a market environment that would not serve the interests of either existing shareholders or deal participants. The Managing Director also said that they were still strongly focused on listing in Hong Kong and would proceed when they believed the time was right for the Hong Kong IPO.
Galaxy Resources is an emerging mining and chemical company that focuses on lithium and tantalum production. Its Mt Cattlin Lithium Project in Ravensthorpe in Western Australia is in an advanced stage of development. The company is also exploring establishing lithium processing facilities in the Jiangsu Province in China.