Zoetic International (LON:lZOE) has announced that its ordinary shares will start trading on the OTC market in the United States and that trading is expected to commence on Tuesday 12 November 2019.
The Company’s ordinary shares will cross-trade onto the OTCQB Venture Market which is a market designed to enable developing international companies to be publicly traded in the United States. As a London Stock Exchange listed company, obtaining a listing on the OTCQB has been a cost-effective process for Zoetic International, with there being no need to file a prospectus or similar document. Furthermore, ongoing the Company can continue to rely on the announcements and disclosures it makes to the London Stock Exchange and has no Sarbanes-Oxley or SEC reporting requirements.
As the Company stated in its annual report this year, with several US shareholders already and an increasing following for the Company in the US developing, it had been exploring ways to make it easier for those investors to trade in Zoetic International ordinary shares. Independent studies have also shown that trading on the OTC by an international company provides a positive effect on the liquidity of its shares. The OTC assists this by providing a number of methods through its own channels and social media to increase the visibility of companies.
Trading on the OTC will have no impact on the existing listing of Zoetic International ordinary shares on the London Stock Exchange and no new ordinary shares will be issued as part of the listing.
Nick Tulloch, Chief Executive of Zoetic International, said:
“It has been our ambition for some time to facilitate investment from the United States. Being the country where the majority of our operations are based, we have already attracted some interest and this week’s move onto the OTC considerably simplifies the process for US investors, enabling them to trade in our shares in US dollars during US market hours. Significantly, the CBD market is well developed in the US so we are optimistic that the enhanced profile that our OTC ticker will give us will generate further interest from the already established community of investors in the CBD industry. Zoetic International will be the first CBD company with a primary listing in London to trade on a regulated US market.
“I am looking forward to attending the opening in New York tomorrow and to starting the process of building an investor following in the US.”
