Argentex Group requested its shares be suspended from trading on AIM on Tuesday after the currency risk management firm warned of a significant deterioration in its short-term liquidity position due to heightened foreign exchange volatility.
The suspension of trading in the company’s shares on AIM took effect from 07.30 a.m. today.
Argentex said its exposure to a rapidly devaluing US dollar, driven by recent tariff and spending cut announcements from President Trump, had triggered a wave of margin calls linked to its FX forward and options positions.
Argentex noted that the sudden currency shifts had created a “rapid and significant impact” on its near-term liquidity.
In response, the company said it has taken steps to preserve cash and bolster collateral requirements from its counterparties.
It is also exploring options for the business and is in active discussions with its principal liquidity provider to further shore up its financial position.
Argentex highlighted that, should the currency volatility worsen further and additional support not be secured promptly, its liquidity could become “significantly stretched.”
“In light of these developments and the current material uncertainty,” the company said it had requested a suspension of trading in its ordinary shares on AIM.
The announcement comes just weeks after Argentex published its FY24 results and completed an investor roadshow.