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TechFinancials progressing to wind-down non-core assets
Financial trading technology company TechFinancials updated the market on its non-core subsidiaries B.O. TradeFinancials (BOT) and MarketFinancials (MF) on Thursday.
The AIM-traded firm had previously stated that it was now focusing its attention on supporting the most profitable parts of the business, and developing new products and technologies - in particular its rapidly-growing blockchain-based products.
Its wider strategy was to cease any business-to-consumer operation in the EU, and to focus only on business-to-consumer trading in the Asia Pacific region via its joint venture DragonFinancials.
On 6 February, TechFinancials announced the termination of the proposed sale of its shareholding in BOT and MF, following the decreasing levels of BOT activity during 2017, which negatively impacted overall revenue generated for the company.
In line with its wider strategy, BOT had now notified the Cyprus Securities and Exchange Commission of its intention to withdraw its Cyprus Investment Firm authorisation.
"BOT is in the process of notifying customers of its intention to terminate all of its activities related to operating its brand, OptionFair and subsequently, to return all client funds," TechFinancials explained in its statement.
"As a result of the notification of the return of the license, MF has terminated its market maker services with BOT, which was its only source of income.
"TechFinancials plans to sell MF, along with its license, and the company intends to provide a further update on this process in due course."
As it had previously announced, for the six months ended 30 June last year, BOT's revenues were 0.16m, and the loss for that period was 0.11m compared to a loss of 0.23m for the financial year 2016.
Net assets at 30 June were 0.24m.