Quiz shareholders have today voted in favour of delisting from the London stock market. This move will revert Quiz to private ownership as it prepares to seek funding in the coming months.
The fashion brand published a statement proposing its exit from the Alternative Investment Market (AIM) and going private in December.
Today, over 98% of shareholders backed the resolutions to delist and re-register as a private limited company. Tarak Ramzan, who founded the business in 1993, voted in favour of the move, along with major investors Tajveer and Amraj Gill.
Quiz’s shares will cease trading at 7:00 on 23 January. On 27 January, it will formally re-register as a private limited company.
The company said the decision was “in the best interests of the company and its shareholders”, adding that it had a £4 million borrowing facility that expires at the end of June, which was repayable on demand.
It comes as Quiz faces ongoing financial pressures, as are many British retailers who are preparing for looming hikes to employer’s national insurance imposed by the Government.
Quiz recently reported that its half-year losses more than doubled, warning it could exhaust its remaining cash by early 2025. It said cash reserves had fallen to £500,000 by the end of December, down from £1.2 million at the start of the month.
The brand attributed its ailing financial situation to “disappointing revenues” in the lead-up to Christmas, leaving its cash headroom “less than previously anticipated”. It will therefore require additional funding by early next year.
In its latest update published on 27 December, Quiz revealed its pre-tax losses had risen significantly, from £1.5 million to £4.7 million, for the six months ending 30 September. Sales dropped 7.5% to £39.1 million, due to a “marked decline in traffic both online and in-store”.
