Shares in PSC Insurance Group Ltd (ASX: PSI) are currently halted amid a company requested trading pause.
PSC Insurance shares have posted gains so far in 2022, and are up more than 40% in the previous 12 months of trading.
The $1.6 billion company by market cap is also trading at its highest levels in over 5-years and recently touched its 52-week closing high back in February.
Why is the PSC share price frozen?
The ASX granted the halt for PSC following a company request today. Before being placed on ice, PSC shares were up 2% on the day at $4.84, slightly off the intraday high of $4.99.
PSC made the request pending a market sensitive announcement, as is typically the case for a trading halt.
“The trading halt is requested to facilitate an orderly market in PSI’s securities pending PSI making an announcement to the ASX in connection with a proposed capital raising”, it said today.
“PSI requests that the trading halt remain in place until the earlier of PSI making the announcement to the market concerning the capital raising or the commencement of trading on Friday 11 March 2022”.
Prior to the halt, PSC finished the month on a high after announcing its FY22 half year results. In its report, the company printed revenue growth of 28% and underlying net profit was up 21% to $16.6 million.
This resulted in a 46% year on year jump to 8.6 cents in earnings per share (EPS) and allowed the board to declare an interim dividend of 4.5 cents per share.
The bulk of earnings and cash flow growth was seen in the UK and Hong Kong markets, both of which also grew in contribution to overall revenue.
PSC share price summary
In the past 12 months, the PSC share price has climbed more than 40% and is up 2% this year to date. Over the past month, shares have walked another 4% into the green.
In fact, the company’s share price is up across all major time frames and is thus leading the broader market this year to date.
The post Why is the PSC Insurance (ASX:PSI) share price on ice today? appeared first on The Motley Fool Australia.
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Motley Fool contributor Zach Bristow has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended PSC Insurance Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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