Dow Jones

Published in "Dow Jones": 12/04/10

By Rachael Gormley

LONDON (Dow Jones)--Residential resort investment company Dolphin Capital Investors Ltd. (DCI.LN) said Monday it is looking at a possible move to the main market in the medium term after its investment manager Dolphin Capital Partners agreed to support its existing AIM public listing.

"If we've made a commitment to stay listed, we might as well explore the option of moving onto the main market," DCP's Managing Director Miltos Kambourides told Dow Jones Newswires. "We're trying to weigh up the pros and cons of a move and we've done some preliminary work...but it's also about timing." Some property companies, especially those in the early stages of development, have faced pressure from shareholders to delist, saving them the costs of retaining a public listing. However the company, which invests in residential resorts in southeast Europe, said that following the new agreement Dolphin Capital Partners has agreed not to work with other Dolphin shareholders to cause a delisting without shareholder agreement and not to back a delisting at an EGM, as long as the share price is above certain limits. Panmure Gordon's Mark Hughes said the company has taken on board investor concerns that the potential for a theoretical delisting--say, if a large shareholder decided to call for one with an EGM--has been holding the share price back. Kambourides added that he hoped DCP's backing has removed uncertainty among investors of any possible delisting. "We hope this will translate to new investors and an uplift no the share price," he said. Dolphin said it has extended its investment management agreement with Dolphin Capital Partners by five years to Aug. 1, 2020. Hughes kept his "buy" recommendation and 100 pence target price.

Source: Dow Jones

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