Sevak exits SGX-ST's watchlist

It has been on the watchlist since March 2015 due to buyback issues.

Telecom and IT service provider Sevak will be removed from the Singapore Exchange Securities Trading (SGX-ST) watchlist with effect from 31 May, a filing with the local bourse revealed.

The firm had applied for its removal from the watchlist on 24 January on the basis of the company meeting the requirements under “Financial Exit Criteria” under Rule 1314 (1) of the listing manual.

However, Sevak remained on the watchlist after the Singapore Exchange Regulation (SGX Regco) deferred its review of the company’s application in February. The SGX RegCo urged caution when dealing in Sevak shares after it noted that the firm’s share price had climbed 61% to $4.05 in October 2018 despite a general decline in the broad market. The regulator noted that Sevak’s share buy-back account had contributed more than 70% of the market traded volume for the stock.

That said, the market regulator gave the firm a three-month extension from the original 31 March 2019 deadline for Sevak to exit the watchlist.

Sevak was placed on the watchlist in March 2015, and had previously been granted two 12-month extension to cure its watchlist status.