Hornby has announced plans to cancel its admission to London's AIM market, with shares valued at one pence.
The group said that following an ongoing and in-depth evaluation, the board has concluded that the cancellation is "in the best interests of the company and its shareholders".
Hornby stated that in recent years it has implemented "significant structural change" and driven "operational transformation".
However, its board said it was "conscious of the limited liquidity of the company’s shares on AIM balanced against the regulatory burden and cost of maintaining the public quotation", adding that its director believe that the current level of liquidity do not "offer investors the opportunities to trade in meaningful volumes" within an active market.
Furthermore, the board stated that delisting would "streamline" its restructuring efficiency programme.
Under current trading, the firm said that it remains "on track for year-on-year sales growth", despite weaker trading in January and February.
Investment director at AJ Bell, Russ Mould, said: "Hornby’s decision to delist from AIM is not a damning criticism of the UK stock market. When two shareholders – Phoenix Asset Management and Frasers – own 91% of the company, it doesn’t make sense to be a listed entity.
"Companies admit their shares for public trading to obtain a diverse shareholder base and access capital markets. In Hornby’s case, its shareholder base has become incredibly concentrated.
"Hornby has had a tough ride over the years and Phoenix has been an incredibly supportive and patient shareholder. Sometimes a business is better off away from the public markets and that looks to be the case with Hornby."
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