Triodos Bank has suspended the possibility to buy and sell Triodos Bank depository receipts. Since reopening trade on 13 October 2020, after an earlier period of suspension, a trade pattern has emerged where the number of sell orders outweighs the number of buy orders for Depository Receipts.
This trend emerges despite the financial health of the bank, as capital and liquidity ratios remain well above regulatory minimum levels. The ongoing uncertainty around the Corona crisis and its longer-term economic effects have not disappeared, on the contrary, further lockdown and other restrictions are seen globally.
This poses the question what measures Triodos Bank can take, to achieve balanced trading, as the bank now must assume that previous trading patterns will likely not recover in the foreseeable future. The details of possible new measures are considered relevant information for making an informed investment decision. As the measures are not concrete enough at the moment, this information cannot be disclosed. Therefore, trading in Depository Receipts is suspended until new measures can be communicated.
Trade will be suspended from Tuesday 5 January 2021 9.00 hrs CET.
Sell orders received up to Tuesday 5 January 2021 9.00 hrs CET will be settled as normal.
Outstanding buy orders at Tuesday 5 January 2021 9.00 hrs CET will be cancelled.
Resumption of trading
Customers of Triodos Bank who are Depository Receipt holder will be informed as soon as the new measures have been agreed, via the website, in internet banking and through individual communication.
Decisions about new measures regarding trade are likely to take some time. After the publication of the 2020 annual report on 18 March 2021, DR holders will be invited to a video conference where Triodos Bank will provide an update on the process.