MetaOptics defers US dual listing on geopolitical uncertainty, market volatility

[SINGAPORE] Catalist-listed MetaOptics is withdrawing its application to list on Nasdaq and deferring its plans to dual list in the US.

This comes amid a backdrop of geopolitical uncertainty, recent whiplash in technological stocks’ price performances and ongoing technological disruption, said the semiconductor optics company on Friday (Aug 7).

MetaOptics executive chairman Thng Chong Kim noted that dual listing is still part of the company’s strategic plan, and aligns with its focus towards its key market and customers in the US.

Nevertheless, he noted the need for certainty over capital expenditures and intensifying global competition for capital, as well as obligations to protect shareholder value.

Prevailing geopolitical uncertainties and the resulting volatility in US capital markets has reduced the certainty and timeliness of pricing. This undermined MetaOptics’ ability to meet fundraising targets and increased execution risks.

The semiconductor industry is also experiencing intensifying global competition for capital, and a fast pace of technological disruption in the optics and semiconductor value chain.

Furthermore, the company also noted adverse perceptions of Asian small-cap issuers arising from a pattern of extreme stock price volatility following the listings of a notable number of such issuers on Nasdaq.

At present, the company said, it is channelling capital and management focus into converting its customer pipeline into purchase orders, fulfilling purchase orders and building up its metalens production capacity.

It said it may revisit an international dual listing when market conditions are more supportive.

The withdrawal has no bearing on its business and operations, as well as the execution of its growth plans and strategies, the company added.

Shares of MetaOptics ended 2.8 per cent or S$0.015 lower at S$0.53 on Friday, before the announcement.