Pact Group Holdings has received conditional approval from the ASX for its voluntary delisting, pending shareholder endorsement at an upcoming extraordinary general meeting scheduled for 12 June 2025.
- ASX grants in-principle approval for Pact Group's voluntary delisting
- Shareholder vote set for 12 June 2025 to approve removal from ASX
- Majority shareholder Bennamon, holding 88%, supports delisting
- Delisting subject to ASX conditions including share suspension and notice requirements
- Post-delisting share disposal processes to be communicated to shareholders
ASX Approval Marks Key Step in Pact Group's Delisting Journey
Pact Group Holdings Ltd (ASX:PGH), a prominent player in the packaging and containers sector, has secured conditional approval from the Australian Securities Exchange (ASX) for its voluntary delisting request. This development follows the company's formal application submitted in late April 2025 and represents a significant milestone in its strategic repositioning.
The ASX's approval, announced on 2 May 2025, is contingent upon several conditions designed to protect shareholder interests and ensure regulatory compliance. Central to these is the requirement for a special resolution passed by shareholders at an extraordinary general meeting (EGM), scheduled for 12 June 2025. The company is preparing to dispatch the notice of meeting, which will outline the timetable, voting exclusions, and post-delisting share disposal mechanisms.
Shareholder Backing and Voting Dynamics
Notably, Bennamon and its associates, who collectively hold a commanding 88% stake in Pact Group, have expressed their intention to vote in favor of the delisting resolution. This overwhelming majority support significantly increases the likelihood of the resolution passing, effectively paving the way for the company's removal from the ASX official list.
The voting exclusion clause stipulated by the ASX prevents Bennamon and its associates from voting in favor if the meeting occurs before 7 June 2025, but given the EGM is set for 12 June, they retain their voting rights. This nuance underscores the regulatory safeguards embedded in the delisting process.
Implications for Shareholders and Market Liquidity
Shareholders are advised that if they wish to trade their shares on the ASX, they must do so prior to the delisting date. Post-delisting, the company will provide detailed information on alternative mechanisms for shareholders to dispose of their holdings, which may include off-market transfers or other arrangements. This transition phase is critical for maintaining shareholder liquidity and confidence.
Additionally, the ASX mandates that Pact Group apply for a suspension of its shares at least two business days before the delisting takes effect, ensuring an orderly exit from the exchange. The company has already fulfilled the requirement to release the full terms of the ASX's in-principle approval to the market, maintaining transparency throughout the process.
Looking Ahead: What to Watch
The upcoming EGM will be a pivotal event, not only for Pact Group's shareholders but also for market observers tracking corporate governance and shareholder activism trends in the ASX industrial sector. The successful delisting could signal a strategic shift for Pact Group, potentially enabling more flexible capital management away from public market scrutiny.
Investors will be keen to monitor the detailed shareholder communications regarding post-delisting share disposal and any subsequent announcements from the company or ASX that clarify the timeline and operational impacts of the delisting.
Bottom Line?
Pact Group’s delisting hinges on June shareholder approval, setting the stage for a new chapter beyond the ASX spotlight.
Questions in the middle?
- What alternative liquidity options will Pact Group provide to shareholders after delisting?
- How might delisting affect Pact Group’s strategic flexibility and capital structure?
- Could Bennamon’s dominant stake influence future corporate governance post-delisting?