Harel Mallac to Exit Official Stock Market for DEM After 35 Years

Harel Mallac & Co. Ltd is preparing to end its 35-year tenure on the Official Market of the Stock Exchange of Mauritius, with plans to migrate to the Development & Enterprise Market (DEM).

The move comes as the diversified group’s “free float”—the portion of shares held by the public—has fallen below the mandatory 25% threshold required for a primary listing.

In a statement to shareholders, the board clarified that this breach of listing rules was beyond its control but necessitates a shift to the DEM, which maintains more flexible criteria regarding share dispersion.

Management emphasised that the transition should not be viewed as a delisting, but rather a transfer of compartments that would allow shares to continue being traded.

The board is currently studying the feasibility of the move, which remains subject to regulatory approval.

Volatile Financial Performance

The announcement follows a period of contrasting financial results for the group, which operates across the chemical, technology, equipment, and investment sectors.

• 2023 Recovery: The firm posted a consolidated turnover of approximately MUR 4.3 billion and a net profit of MUR 185 million, a significant post-pandemic improvement.
• 2024 Downturn: The momentum reversed the following year, with turnover dropping to MUR 3.8 billion and the group swinging back to a net loss of MUR 175 million.
• Recent Figures: Losses for the nine months ending 30 September 2025 stood at MUR 56 million, though this represented an improvement over the MUR 140 million loss recorded during the same period in 2024.

Market Pressures and Share Value

Market specialists attribute the group’s recent struggles to high operating costs, specifically regarding logistics and wages, alongside low liquidity in its shares.

The company’s stock has felt the pressure; as of February, the indicative share price was MUR 17.50, representing a decline of approximately 35% over the past year.

Harel Mallac has advised investors to exercise caution when trading its shares while the board evaluates the transition. The company has pledged to provide further updates as the situation evolves.

Source: l’Express