DGAP-News: Sumo Resources Plc share price decline

Sumo Resources Plc share price decline - 24 August 2016

On Friday 19 August the share price of Sumo Resources Plc on Euronext Paris declined from EUR 0.89 per share to EUR 0.33 per share. The drop in the price is not due to any news related to the company but rather the way the Marché Libre segment of the Euronext Paris operates.
During times of low liquidity and excess market asks matching very low bid prices for the shares of a specific company, the Euronext will halt trading for those shares for the day and move the maximum price for the next day down by ten percent. This will happen every day the situation continues until a trade is possible within the limits.
From 03 August 2016 until 19 August 2016 there was no trade in the shares as the asks at market price far exceeded the bids in trading range and therefor the price range for the trade of the shares was pushed down every day until there was a match at EUR 0.33.
The lack of liquidity can be explained by either seasonal factors, market speculators driving the price down during the low liquidity times, general sentiment towards equities, the business segment the company is involved in or a combination of some of the above factors.
The development of the Sumo Resources group is continuing at a good pace and we look forward to share positive news with the market in the months ahead.