COGNOSEC AB PLANS FOR ADR LISTING ON NASDAQ NEW YORK
...AND ASSOCIATED CAPITAL RAISE OF UP TO $25 MILLION
London United Kingdom – 1- December 2017 –Cognosec AB (the “Company”) (NASDAQ First North: COGS), an international leader in Cybersecurity, GRC and PCI services today announces its intention for a listing of its shares through the issue of American Depository Receipts (“ADR”) on the NASDAQ Exchange in New York.
The Company is exploring listing options including a sponsored ADR programme with a U.S. Depositary Investment Bank which would include plans for record keeping, the distribution of shareholder communications, payment of dividends and other associated services. The company believes that a listing in New York will improve analyst coverage and general liquidity of the Cognosec shares.
In addition to the benefit of exposure to a U.S. investor base, the Company also intends to raise new capital of up to $25 million through the ADR issuance process having already received underwriting proposals from interested parties.
Depending on the listing option selected and the level of ADR’s issued, the process may, following the appointment of appropriate advisers and taking into account any relevant U.S. Securities Exchange Commission (SEC) approvals, including those of the board of directors of the Company, take between 9 to 12 weeks to complete.
The Company will release further information as and when appropriate on the various steps to approval.
An ADR is a negotiable certificate issued by a U.S. Bank that represent the shares of a non-U.S. company, held by an American based depositary bank outside of the United States, allowing investors in the U.S. to invest in the company and thereby provide the foreign company with access to the U.S. capital markets.
ADRs are denominated in U.S. dollars, with the underlying security held by a U.S. financial institution overseas.
It remains the Company’s intention to continue with its listing on NASDAQ First North Stockholm alongside the planned New York ADR listing.