Representatives from British developer Argonaut Games PLC have requested the suspension of the company’s shares on the London Stock Exchange. The move is attributed to delays in signing certain major new development contracts.
According to a company statement, “In the absence of these development agreements being immediately secured, the group's existing cash resources will provide funding for only an extremely limited period and Argonaut may not be able to continue to trade.”
It was not made clear which contracts in particular have been delayed, but the company recently announced a multi-platform deal with British publisher SCi. However, the company’s statement implies that the current financial problems were caused by delays from more than just this one deal.
In August Argonaut admitted that its full-year results, which will be announced later this month, are likely to be below market expectations, with an increased loss in the region of £6 million ($10.8m). This was also attributed to delays in signing new development contracts.
