Argentex Group PLC (LON:AGFX), a specialist in currency risk management, today provided an update regarding its financial position.

Following the Company’s recently published FY24 Annual Results on 2 April 2025 and subsequent associated results investor roadshow, Argentex has been exposed to significant volatility in Forex rates, particularly in relation to the rapid devaluing of the US Dollar against other major benchmark currencies.

As a result, the Company has experienced a rapid and significant impact on its near term liquidity position, driven by, inter alia, margin calls linked to its FX forward and options books.

The company says it has taken a number of steps to preserve cash and increase the collateral received from its counterparties. In addition, the company is considering a number of options for the business.

The company says it also has the support of its principal liquidity provider and is in discussions with them regarding ways to further strengthen its liquidity position given the ongoing macro uncertainty, noting the likelihood of continued volatility in the currency markets and the associated exposure presented within the Company’s FX forward and options books.

In the event that the volatility in currency markets worsens materially then the company’s financial liquidity position, if not strengthened in the near term, would be significantly stretched.

In light of these developments and the current material uncertainty, the company also announced that it has requested a suspension of trading in its ordinary shares on AIM with effect from 07.30 a.m. today.