Merchant House International Completes Asset Sale, Plans Delisting from ASX

Merchant House International has completed the sale of its subsidiary's assets, realizing significant profits. The company will distribute residual funds to shareholders and seek voluntary delisting from the ASX, citing inadequate operations. With cash reserves of A$25,998,000, the company plans to wind up its subsidiaries.

Merchant House International Limited (MHI) has finalized the sale of its subsidiary American Merchant, Inc. (AMI), marking a significant step in the company's restructuring efforts. The sale of AMI's assets, including equipment and property, has yielded substantial profits for MHI. The company has also secured a government grant, further bolstering its financial position.

With a cash reserve of A$25,998,000, MHI plans to wind up its subsidiaries, distribute residual funds to shareholders, and seek voluntary delisting from the ASX, where it has been suspended due to inadequate operations. This move underscores the company's commitment to focusing on core operations and financial stability.

Merchant House International has historically been involved in the design and manufacture of home textile products, particularly towels, under the AMI subsidiary. The company has emphasized the 'Made in America' concept. The asset sale and planned delisting are strategic moves aimed at streamlining operations and ensuring the company's long-term viability.

The technical sentiment for MHI stock is currently bullish, with analysts recommending a 'buy' signal. The current market capitalization stands at A$14.14 million [1].

References:
[1] https://www.tipranks.com/news/company-announcements/merchant-house-international-completes-asset-sale-and-plans-delisting
[2] https://www.reuters.com/world/india/pernod-ricard-sells-imperial-blue-whisky-indias-tilaknagar-486-million-2025-07-23/