Dx (group) Share Discussion Threads

[stemis] 10/5/2022 07:38

Well at least

The Group's trading performance and financial position since 1 January 2022 have remained in line with the Board's expectations.

[molatovkid] 10/5/2022 07:13

I'm starting to wonder if this has something to do with Liad Meidar being appointed.
We get an RNS on 13th December of his appointment and then on the 4th Jan. 2022 they are suspended.

Dunno if we are being stitched up here or not.

[nw99] 10/5/2022 07:08

DX GROUP (DX/) suspended; Still unable to appointment a new auditor. If accounts are not published by July 5th the company may look to delist from AIM.

[nigelpm] 10/5/2022 06:54

Almost certainly can't agree to take it on.

[amaretto1] 10/5/2022 06:23

Disgrace!!

[molatovkid] 10/5/2022 06:22

Shareholders should be able to sue the company for negligence and mismanagement.

[fenners66] 10/5/2022 06:19

DX (Group) plc

("DX", the "Company" or the "Group")

Update regarding appointment of an auditor

Since the announcement of the resignation of Grant Thornton UK LLP as auditor to the Company and to other members of the Group in February 2022, the DX Board has been in discussions with a number of potential new auditors. However, to date, the Board has been unable to agree a new appointment.

The Board has now concluded that there is a material risk that the audit of the Company's accounts for the financial period ended 3 July 2021 (the "Audit") will not be completed and the audited annual accounts not published by 7.30am on 5 July 2022, six months after the suspension of the Company's shares from trading on AIM. As shareholders are aware, the suspension occurred as a result of the Company's inability to comply with AIM Rule 19, which required the Company's accounts for that financial period to have been published and sent to shareholders without delay and, in any event, not later than six months after the end of the financial year to which the accounts relate.

[tuftymatt] 10/5/2022 06:18

Good luck to those of you that hold this.
I read that as nothing more than a pre warning of worse to come. So disappointing after all this time and it just goes to show what a mess they must be in if no one will pick this up!!

[molatovkid] 10/5/2022 06:14

WTAF! RNS out...this is a disgrace.

[lombriz] 06/5/2022 22:22

I imagine the plan is not to issue an RNS until the new auditor is in place, at which point they'll be in a better position to say when they expect the suspension to be lifted. Of course, some flexibility in the deadlines may be required here, but given the exceptional circumstances of the previous auditor’s resignation so late in the day, I can't see why this wouldn’t be granted, provided sufficient progress on the accounts can be demonstrated.

[stemis] 06/5/2022 15:17

I believe DX. are planning to update the market in the next few weeks. I don't know what that'll say but a 'lot of work' is going on in the background. The investigation of the corporate governance issue is coming to a conclusion and they haven't, as yet, appointed an auditor although very aware of the deadlines. Read into that what you will...

[nigelpm] 06/5/2022 15:06

Obviously I'm talking from the point of view of the company without having to deal with shareholders.

[lombriz] 06/5/2022 14:53

Little point in being listed? Of course there is. It gives shareholders an uncomplicated way of selling their shares, and without the discount attached to being unlisted. As for being bought out at 50p+, many would jump at that, but that’s a separate issue.

[nigelpm] 05/5/2022 17:37

The last few months have probably proved that there is little point in this being a listed company. Certainly it's pretty unclear to me what value listing has achieved. Be quite happy for an MBO at 50p+

[empoggio] 05/5/2022 13:34

lombriz: going private might not be a panacea, but it will involve a due diligence 'audit' which will expose all matters, including the carrying out of a full audit and the effect of those 'issues'. I would think, in any case, rather than 'going private' that some sort of takeover bid would take place instead. This would save the bidder(s) a lot of money if they wished to re-list.

The financials of the company (albeit thru unaudited accounts) look very healthy, and seem on a very promising forward outlook. We have been told time and again, that the issues in question are not finance related, so the health and prospects of the company remain as robust.

A takeover bid, or a 'going private' I don't think would be detrimental to the PI.

[lombriz] 05/5/2022 13:33

Yes, but the danger for the directors is that if any “delistingR21; by AIM can be linked to gross mismanagement (e.g. corporate governance failings of such magnitude as to cause the auditor to resign), they (or their insurers!) will be exposed to claims from shareholders for any consequential losses.

[stemis] 05/5/2022 13:16

Depends what people mean by 'going private'. Often it's used as a term for an MBO. Can't see that here. If it simply is used as 'delisted' then it's clearly possible

[lombriz] 05/5/2022 13:06

Going private is not a panacea, in particular it doesn't magically make the audit problem go away.

It would not in any event receive the support of the generality of shareholders who, after all, have only been able to invest in DX in the first place by virtue of its being a listed company, and are entitled to expect it to remain so.

[ls24] 05/5/2022 11:36

Can see going private again for a few years

[marktime1231] 05/5/2022 11:15

An internal coup? The people who control this situation while building up their holdings have the votes. Once delisted and outside those rules ...

[everton448] 05/5/2022 06:13

Another day. No news.

[podgyted] 04/5/2022 16:32

Who would want to audit this? That is one of the main problems I suspect they are struggling with.

[lombriz] 04/5/2022 15:46

Lloyd Dunn also has 43m share options outstanding, which potentially gives him an extra 7.5% (subject to continued employment). The other directors also have substantial outstanding options. Plenty of incentive there to get the suspension lifted.

[fenners66] 04/5/2022 13:00

Reporting a downplayed update was useless already.
I don't care about companies reporting something when they have nothing to say.
Its all this time and still clearly having nothing to say - the time its taken to find a solution.
A solution to what it appears some board members thought was a non-issue.

If it was as easy as getting an audit done - I'm sure any one of us could have organised that by now.
Much larger quoted companies than this , report their numbers to audit within days of a year end.
Audit finished within weeks
These figures were already done.
The audit pack already prepared.
So IF there were "minor" issues the audit could have been done by Joe Bloggs auditors by now.

Question is are the issues therefore much larger than reported - in which case I'm back to my previous points.