Goldstream Investment (HKG:1328) is proposing a share consolidation to comply with regulatory trading requirements and to attract a broader range of investors.
Under the proposal, every 50 existing shares in the customer relationship management outsourcing services company's share capital will be consolidated into one share, according to a Friday disclosure.
If the plan becomes effective, the company's 20 billion existing shares will be consolidated into 400 million consolidated shares, while its 12.8 billion shares in issue, which are fully paid or credited as fully paid, will be consolidated into 256.6 million consolidated shares.
The consolidation, subject to the approval of shareholders and the Hong Kong Stock Exchange, is expected to become effective on April 25.
Shares of the company closed over 5% lower on Monday.
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