The gaming company Nektan PLC has been fighting for survival for months. The provider of white label casinos probably wanted to expand too quickly all over the world and seems to have taken over too much. After trading in the company's shares in London has been suspended twice in the past few months, Nektan PLC is now finally going public. The securities were removed from the Alternative Investment Market.
The stock market exit for Netkan PLC comes as no surprise
For over a year now, the white label casino provider Nektan PLC has been making negative headlines and is slipping into bankruptcy if the management is still unable to turn things around. However, this is likely to become more and more difficult the longer the drama continues unabated. The last negative event in a whole series of unsightly news is the Nektan PLC stock exchange exit in London, which, however, hardly surprised anyone. Since the beginning of the year alone, the gaming company's shares have been temporarily suspended twice from trading. In January the group missed the required publication deadline of six months for the annual report and in April a new administrator had to be appointed because Nektan PLC ran out of money for the business. Neither are arguments that give hope for a positive end to the whole story.
Once again, the dear money, or rather the lack of money, is the main reason for the further interruption of trading in Nektan PLC securities. Due to the lack of financial reserves, the company can no longer sufficiently ensure its business operations. In Germany this would be a case for the insolvency administrator, in English-speaking countries this is called the administrator. In order to be able to continue trading your own securities in a crisis situation, the guidelines of the London Stock Exchange prescribe such an administrator. However, Nektan PLC has not had such an administrator since April and does not make any changes to this condition, despite the fact that the company has lost stock markets. The logical consequence of this, which applies to the protection of investors, is in a figurative sense the upright throwing out of the alternative investment market.
The online casinos operated by Nektan PLC so far, such as The Online Casino or CoinFalls Casino, are fortunately not affected by the current situation around the stock exchange of Nektan PLC. This was sold together with the entire end customer business to Grace Media Limited in January and Nektan PLC only provides the casino software. A possible bankruptcy of the group would therefore have no impact on the customer funds in the best online casinos concerned.