Charter stands by deal
ment”, the ASX had told it the deal was not “appropriate for a listed entity”.
As a result, Charter Pacific will be removed from the ASX today.
It plans to instead apply to trade on the smaller National Stock Exchange (NSX).
Charter had executed a share purchase agreement to acquire 100 per cent of Microlatch Group, a company focused on biometrics security solutions.
Microlatch has 26 registered patents globally, with one single patent being valued at up to $US313 million ($A425 million).
Charter said the acquisition would allow it to tap into a major global market to use biometrics on mobile devices and payment platforms.
Biometrics security refers to using physical or behavioural traits to ensure identity.
The proposed acquisition had been subject to shareholder Surfers Paradise-based Charter has previously looked at investing in Bollywood movies, rapid-fire weapons, gold mining in Burkina Faso, iron ore exploration in Mauritania and cloud computing.
In 2016, it ditched a muchtouted play into the anti-counterfeiting industry.
Chairman Kevin Dart previously said Charter “strongly believes” its deal to buy Microlatch and regulatory approval. “will provide future value and profit to shareholders”.
Charter Pacific posted a FY16 loss of $5.28 million, compared to a $4.7 million loss a year earlier.
It said the loss was largely due to a $3.1 million hit incurred by Charter’s “long and protracted” exit from its investment in an iron ore project in Mauritania.
Mr Dart previously said, “Charter Pacific examined and evaluated many opportunities in various market segments to identify and secure an investment”.
However, he believed the Microlatch biometric security deal was “the right place, right time and will give us the platform that will provide an exciting future for the company”.
Charter said Microlatch had agreed to the plan to substitute removal from the ASX with an NSX listing.
Charter Pacific shares last traded at 1.9¢.