Homeware brand owner Ultimate Products plc has announced a move to the AIM sub-market due to a big drop in the value of the company over recent years.
The company, best known for UK houseware label Salter, said that the move away from the London Stock Exchange's Main Market would be "in shareholders' best interests".
The announcement follows a 40%-plus slump in the share price since the start of the year to 63.40p by Tuesday's close, valuing at the company at just shy of £55m. In June 2021, the stock had peaked at a record level of around 230p.
"[The board] has concluded that at the company's current market capitalisation, the AIM market would be the most suitable listing venue for the group," Ultimate Products said in a statement on Wednesday.
The current market cap means it cannot enjoy the full potential benefits of an Official List quotation, the group explained, while AIM offers greater flexibility with corporate transactions and "should therefore enable the company to agree and execute certain transactions more quickly and cost effectively".
The move to AIM should also save audit, legal and admin costs, and reduce the administrative burden on the senior management team, it added.
The company said the effective date of the delisting and admission to AIM - if approved by shareholders - would be 15 January 2026. A vote will be held at the AGM on 12 December.