By Stelios Orphanides
Demetra Investment, owner of 10.1 per cent of Hellenic Bank’s shareholding, and software developer Logicom Public Ltd, said their respective shares will be suspended from trading at the Cyprus Stock Exchange (CSE).
Both companies cited in two separate statements on the website of the CSE “the protection of investors” as reasons behind their decision.
“This suspension is deemed necessary, given that the company is in consultations with Hellenic Bank regarding the bank’s capital increase,” Demetra said adding that the suspension will continue until further notice.
In March, three days before the state-owned Cyprus Cooperative Bank announced its intention to sell its operations, Logicom announced the acquisition of an 18.5 per cent stake in Demetra for a consideration of €20.4m. Following that transaction, Logicom’s stake in Demetra rose to 29.6 per cent.
On May 16, Hellenic Bank which agreed to acquire the Co-op’s operations on Friday, also suspended its share from trading.