Polarean Imaging Plc intends to quit the London Stock Exchange and re-register as a private company after its share price bombed in recent months.
The commercial-stage MedTech is described as a global leader in functional lung imaging but says its current cash balance is anticipated to fund it only through the second quarter of 2026.
It explained that it needs to raise approximately £15 million from strategic or financial investors during the current cash runway to execute its business plan to achieve profitability.
“The board has been evaluating all available options to maximise long-term shareholder value, including identifying opportunities to further reduce operational costs while maintaining strict financial discipline,” it said in a notice to the LSE this morning.
“After careful consideration, the board believes that, under certain circumstances, a transition to a private company structure could reduce operational expenses, provide greater strategic flexibility, and broaden access to capital on more favourable terms.
“Based on feedback received following engagement with a number of potential strategic and financial investors, they typically prefer companies to be private before making an investment in them.”
It is asking shareholders to vote in favour of cancelling the admission of its shares to the junior AIM market on 23rd December 2025.
It added that the costs of being a public company, both in terms of financial and management time, are significant, and also said the public markets “are not fairly valuing the company”.
“The directors do not believe that this disconnect will change in the short-to-medium term. Based on the current public market valuation, raising the required capital would be significantly dilutive to current shareholders,” it stated.
“The company believes that becoming a private company could potentially provide access to capital at a higher valuation.”
Polarean’s shares are currently trading at 0.1 pence, having dropped by a third in the first 30 minutes of trading this morning.
The firm listed in 2018 and saw its share price peak at around 88p in 2021.
The company will convene a general meeting on 15th December to vote on the proposals.