As an American exchange, it has listed over 3,100 companies with average daily share trading volume at over two billion. The potential benefits of uplisting include increased marketplace attention, improved liquidity for … Such inefficiency can create undo strain in the first listed year when exchange fees can exceed $50,000. Sorry, your blog cannot share posts by email. A few of these should have in-depth knowledge of the industry. While such an approach is not destined inherently to end in failure, it is likely to be resource-intensive. These companies are often looking to expand, and increase market share. They do not want investors looking at their financial statements. NASDAQ has handled more IPOs than any other exchange. 1. Ongoing Disclosure Obligations – (i) Companies subject to the Exchange Act reporting requirements must remain current in such reports; (ii) A company that is not an SEC Reporting Company must remain current and fully compliant in its obligations under Exchange Act Rule 12g3-2(b), if applicable, and in any event shall, on an ongoing basis, post in English through the OTC Disclosure & News Service or an … OTC Markets Group Listing Requirements. However, not every company can have a perfect board. Often times, a company will premier on OTC markets and up-list to a larger one when they are ready. There are twelve different listing applications varying from an application where there has been a change of control, to switching from another exchange or other U.S. market such as the OTC Markets, to spin-offs and of course an IPO. reaching this goal is accomplished by uplisting. Uplisting from the OTC Markets to Nasdaq or the NYSE is a goal of many OTC listed issuers. The price is determined by the bid price, not the closing price, of the stock. Manage your cap table, view shareholder reports, shareholder meeting voting, transactions, update information securely. Lucosky writes that the three main requirements may seem simple but “there are often misconceptions as to the simplicity of these requirements.”. KushCo doesn’t touch the plant. Listing on NASDAQ or NYSE can be a ticket to new growth for many companies. Listing Requirements. NASDAQ Listing Requirements and the Seasoning Rule. Note that the required share price to uplist to Nasdaq is $4. The forms can be viewed at the OTC Markets website. Ideally, it should contain seasoned individuals with board experience. Follow us on social media and join our email list for the latest. NASDAQ Listing Requirements and the Seasoning Rule- The seasoning rules were adopted in late 2011 by multiple national exchanges, including NASDAQ in response to a request from the SEC for the exchanges to limit the ability of companies to uplist following the completion of a reverse merger with a US public shell. Additionally, it is important to understand the requirements laid out by the exchanges for their companies. But KushCo Holdings Inc. (OTC: KSHB), a California-based company, is trying to make an important move and get listed on the Nasdaq. Uplisting to OTCQB is the first of many positive movements we will continue to make on our way to NASDAQ." The main reason for a company to list on the OTC and not the NASDAQ in the first place is that they do not want to meet the stricter reporting requirements of a major exchange. They do not want investors to know what is really going on. 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