Marine safety equipment manufacturer suspended from trading

Posted on 1 May 2012

Cosalt, the Grimsby-based manufacturer of marine Safety products was suspended from stock market trading yesterday, after missing a deadline for publishing accounts.

The company requested to be removed from Stock Market trading at the request of its shareholders and a number of senior-level staff.

Recently enthroned chairman of Cosalt David Ross saved the company from a certain death through securing a £1m loan. Mr Ross has already provided loans worth £7m, in addition to the £4.6m guaranteed by the banks.

He secured 56% of Cosalt shares earlier this year, but had his plan to delist the company blocked by those that have shares in the company – expressing collective and serious concern over the future business of the company.

Cosalt said that due to the uncertainty over its financial position, it couldn’t have made the April 30 deadline to publish its accounts.

A spokesperson for Cosalt said: “The company is continuing discussions with David Ross, and the group’s pension trustees and its banks to secure a long term financing solution to ensure it has sufficient working capital to sustain the business.”

She added: “Any such solution is expected to involve the issue of new equity share capital.”