UK-based staffing firm Kellan Group PLC (KLN:LSE) said it plans to go ahead with the cancellation of its shares on London's junior AIM market, and will seek shareholders' approval at a general meeting on 3 December 2018.

Kellan Group first announced its plans to delist when it reported its H1 results on 18 September 2018, sending its shares falling as much as 48.5%. The company said at the time that the board was in talks with shareholders over the possible cancellation.

The group said that following talks with its major shareholders, it believed the cancellation was "in the best interests of shareholders."

In making its decision the board considered the costs of maintaining trading in the company's ordinary shares on AIM, the limited free float and liquidity in the shares.

If approved by shareholders at the meeting, the company expects its shares to be cancelled from close of business on 10 December 2018.

The ordinary shares will continue to be admitted to trading on AIM, prior to the cancellation.

Kellan also announced that one of its major shareholders, BMN Commercial Ltd, has offered to acquire up to 67.9 million shares in an off-market transaction at a price of four-tenths of a pence each. The offer will open on Monday and remain so until three weeks after the shares stop trading on AIM.