Hong Kong-focused Forex broker CLSA Premium Ltd (HKG:6877), formerly known as KVB Kunlun, today confirmed that trading in its shares listed on the Hong Kong Stock Exchange is suspended.

The Listing Committee was of the view that the company failed to maintain a sufficient level of operations and assets of sufficient value to support its operations as required under Rule 13.24 of the Listing Rules.

After seeking professional advice and careful consideration of the relevant factors pertaining the prospect of success for a review of the LC Decision, the Board of CLSA Premium informed the shareholders and potential investors of the company that the company decided not to exercise its rights to review of the LC Decision under Chapter 2B of the Listing Rules.

Accordingly, trading in the shares of the Company on the Stock Exchange has been suspended with effect from 9:00 a.m. on Tuesday, 25 April 2023 and will remain suspended until further notice.

Shareholders and the potential investors of the company are reminded to exercise caution when dealing in the securities of the company.

The Stock Exchange has considered the broker operates the business of provision of leveraged foreign exchange, commodities and index trading services in Australia, New Zealand and Hong Kong since listing and sale of Chinese and Japanese medicines products and healthcare products in the PRC and Hong Kong since May 2022, each of which is not demonstrated to be of substance, viable and sustainable.

Since business deterioration in 2019, none of the business plans has succeeded in improving the scale and profitability of the Margin Dealing Business. In 2022, the operation in New Zealand and Australia ceased/was suspended. The remaining operation of the Margin Dealing Business – bullion trading business in Hong Kong – only has a short operating history and a minimal operating scale.

The Trading Business also has a very short operating history and minimal scale of operation.