STM Group has confirmed that, after taking legal advice regarding the appointment of inspectors in respect of certain Gibraltar regulated subsidiaries by the Gibraltar Financial Services Commission ("GFSC"), the Company has been advised that there are strong grounds to appeal the appointments.
The subsidiaries have, therefore, filed and served an appeal against the appointments with the Gibraltar Supreme Court.
The appointments have also been temporarily stayed by Order of the Court of 8 November, pending the hearing of a substantive stay application by the Court which is scheduled to be held on 20 November.
The Court also made a Privacy Order at the hearing on 8 November 2017.
The Company also said the appointments have no impact on its ability to trade.
However, the appointments could have a material cost impact on STM if the subsidiaries' appeal is unsuccessful.
At 1:56pm: (LON:STM) STM Group PLC share price was -13.5p at 40p