The Philippine Stock Exchange (PSE) on Wednesday suspended the trading of PhilWeb shares, after the company asked the exchange for a voluntary trading halt.
Philweb shares were placed under voluntary suspension from August 10 to August 24, although the company asked for a trading halt until August 31.
“Due to material uncertainties and unverified material information affecting the business of PhilWeb Corp. that will materially affect the investing public and in order to prevent a false or disorderly trading of PhilWeb shares, we hereby request for a trading suspension in PhilWeb shares from 10 August 2016 to 31 August 2016,” the company told the PSE.
“This will ensure that PhilWeb shares are not being traded on an uninformed basis,” said Raymund S. Aquino, corporate information officer of PhilWeb Corporation.
On Tuesday, PhilWeb President Dennis Valdes met with Pagcor Chairperson Andrea Domingo to appeal for an extension of its licensing agreement, but the industry regulator declined.
The technology supply and management contract for Pagcor’s eGames outlets, was only up to August 10, 2016.
PhilWeb called for an emergency meeting at 4 p.m. Wednesday, summoning majority shareholder and former Chair Roberto Ongpin and other shareholders an directors of the company.
Also included called to the meeting were PhilWeb employees and e-Games operators.
Aquino said the company would like to “ . . . properly appraise all stakeholders about the future of PhilWeb.
Late Tuesday, Valdes said the company will now be winding down its e-Games operations but made it clear that PhilWeb is not closing down.
Even before the start of trading at 9:30 a.m., PhilWeb Corp’s shares were under a voluntary trading halt from August 10 to 24 to refrain its stockholders from recklessly trading the shares. Since Thursday last week, the company’s stocks dropped 70 percent in value from P14.18 per share to P4.25 apiece as of end of Tuesday’s trades.