RE: TSX30 Jan 2018 15:34
Folks, consider these facts when thinking about the TSX......
The TSX listing is a �Dual Listing� and has the same status to the AIM listing. The non offering Long Form Prospectus is as detailed as a Prospectus required for an IPO on AIM. Part of the listing requirement on the TSX is for a Canadian based market maker, regulated in Canada, who makes a price in the shares (just like London). It this case it is TD Securities. No shares have been issued in the Canadian registry e.g. The TSX equivalent of CREST. Therefore, the Canadian market maker makes a price in CAD but buys the shares back on AIM and transfers them to Canada. The share registrar in the UK has changed to Computershare UK and in Canada it is Computershare Canada, who easily transfer shares between the electronic registries in both countries. There are two ways a Canadian individual can buy shares in Condor.
1) Buy on the TSX. The Canadian market maker may not have stock on his books, makes a price and sells at CAD 1.10 (63p), goes and buys back in London to effectively cover a short position at 54p and make a healthy profit. This shows us as a TSX trade. A big advantage of the TSX listing is that Condor has access to a new pool of capital. Retail investors who buy shares on the TSX can hold them in a tax efficient savings plans, the equivalent to an ISA or a SIPP. Shares listed solely on London don�t qualify for this Canadian tax wrapper for Canadian based investors. This army of retail punters follows Ross Beaty, know Andrew Cheatle the former Executive Director of PDAC who just joined the Board and many are avid punters in gold exploration companies.
2) the Canadian investor buys on AIM and transfers the shares to the Canadian registry. This shows up as an AIM trade not a TSX trade
We can probably expect at least 20% of the existing shares to migrate permanently to the TSX, causing a squeeze in London and higher share price. Give it time!
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