The move sparked speculation that a major investor was about to announce a deal with the troubled firm.

Just before the suspension at 0950 GMT, Ionica shares were trading 3p higher at 17p.

Ionica has seen the price of its shares plummet since they were floated in July last year at a price of 390p each and finished their first day of trading at 421p.

Help needed

The group has been struggling with the massive costs of developing its network which is based on providing a radio telephone service.

It has been looking for a strategic investor to help with the hefty costs involved.

In September it said it was in discussions with a potential investor which could lead to a deal in the near future.

Ionica's chairman Tony Coleman told shareholders at Friday's AGM that he was "confident" of announcing a rescue partnership before the end of the year.

In the year to March 31 the group reported a pre-tax loss of £173m on a turnover of just £11m.