Fast fashion retailer Quiz has proposed voluntary cancellation of its shares on the Alternative Investment Market (AIM), a sub-market of the London Stock Exchange, amid a "challenging financial market” and specified burdens associated with trading. It is now pursuing a re-registration as a private limited company.

The company said it had obtained “irrevocable commitments” for the cancellation of its largest shareholders representing a 66.74 percent stake of its current issued share capital. This includes all directors and family members of the group’s founder, Tarak Ramzan, have also voted in favour of the resolutions.

Quiz must, however, have the proposal approved by at least 75 percent of its shareholders at a forthcoming general meeting on 8 January 2025. If achieved, Quiz anticipates that the cancellation will become effective from 23 January 2025.

CFO to step down upon cancellation

Upon the cancellation of the listing, Quiz said all non-executive directors have proposed to resign, while its chief financial officer and company secretary, Gerry Sweeney, is to also step down from his position. He will remain at the company until March 31, 2025, to ensure a smooth transition.

In a regulatory filing announcing the plans, Quiz outlined reasons for its decision to put forward the proposal, which comes following a strategic review, launched in 2023 as part of efforts to tackle a “difficult trading environment and weak share price performance”.

In its list, Quiz stated that it was faced with “considerable cost, management time and the legal and regulatory burden” associated with maintaining its position on AIM, and that any changes to its cost base in the pursuit of a profitable foundation would be “more appropriate” under a private limited company. Quiz further cited macro-ecomonic factors, such as cost inflationary pressures, and its “lean board structure” that requires “greater flexibility” as additional reasons.