CalciTech Consolidates North American Listing on OTC BB CLK requests delist from TSX-V
28 9월 2004 - 3:07AM
PR Newswire (US)
CalciTech Consolidates North American Listing on OTC BB CLK
requests delist from TSX-V HAMILTON, Bermuda, Sept. 27
/PRNewswire-FirstCall/ -- CalciTech Ltd. (TSX-V: CLK; OTCBB: CLKTF;
Freiverkehr: XCH) announces today that following a full review of
the current situation, CalciTech's Board of Directors has decided
it is in the best interest of both the Company and its shareholders
to consolidate its North American public listing on the NASD Over
the Counter Electronic Bulletin Board ("OTCBB") in the US.
CalciTech has now requested the TSX Venture Exchange to delist its
common shares and given notice of cancellation of its listing
agreement. Consolidation of the Company's North American listing
onto the OTC BB is expected to generate several benefits. Firstly,
it is expected that market makers will come in to actively support
the stock. Secondly, trade volume in the stock will be concentrated
on one exchange, therefore providing a more accurate picture to
investors as to the North American liquidity of the stock. Thirdly,
arbitrage will no longer be possible, a practice that in the past
has on occasion had a negative impact on share price stability.
Fourthly, the maintenance of one listing will lead to a significant
decrease in use of financial and human resources. Finally, with the
Company's long-term strategy to list on a senior exchange such as
NASDAQ or AMEX, a migration from the OTC BB is the most effective
route. The Board and management of CalciTech are of the opinion
that a dual listing would only benefit the company in case two
distinctly separate geographic markets are served. In the current
situation, the Company's dual listing only marginally extends the
Company's market reach and is therefore considered an ineffective
use of shareholder's funds. Other considerations supporting the
delist are; a lack of Canadian shareholders - less than 5% of the
shares outstanding are held by Canadian residents - no commercial
presence in Canada, no members of the Board of Directors are
residing in Canada, and finally the Company is not administered
principally in Canada. Roger Leopard, CalciTech President and CEO,
stated, "We see a lot of advantages to consolidating our North
American listing onto the OTC BB. Furthermore, our ability to raise
funds on the Venture Exchange has been limited and we expect that
by focusing our efforts and resources on the US market, we will be
better able to fund our expansion program. Finally, we feel the
listing consolidation will be beneficial for our shareholders.
Following our last AGM, during which a potential delisting from the
TSX-V was approved, we received significant support from our
shareholders to engage upon the listing strategy we are now
implementing with this step." This press release contains
forward-looking statements which are subject to a number of
contingencies and uncertainties, including but not limited to,
market acceptance for CalciTech products, manufacturing of
CalciTech products in a commercial setting, obtaining adequate
financing and construction management for products and obtaining
appropriate permits. Such forward-looking statements are not
guarantees of future performance, and are based on numerous
assumptions about future conditions that could change. No Stock
Exchange has reviewed or accepted responsibility for the adequacy
or accuracy of this press release. DATASOURCE: CALCITECH LTD.
CONTACT: CalciTech Ltd.: Marc Lakmaaker, , Switzerland: +41 22 710
4020, Canada: +1 604 910 6599, Toll Free North America: 1 800 905
9544, http://www.calcitech.com/; Renmark Financial Communications
Inc.: John Boidman, ; Edith English, ; Media: Cynthia Lane, ; (514)
939-3989; http://www.renmarkfinancial.com/
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