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Brookside Energy (ASX:BRK) has announced it’s intending to list its shares in the US, the latest energy player to tap foreign markets for liquidity.
The company will list American Depositary Shares (ADSs) on the New York Stock Exchange (NYSE), allowing it to tap the largest stock market investorbase for capital without the more fully-fledged costs of a listing proper.
Work is already underway to that end, Brookside reported on Wednesday, including engagements with lawyers and accountants. The ADSs will be listed at a price yet to be determined.
The company is also taking an idea to its AGM: consolidation. The company wants to be more attractive to offshore investors. Notably: the company is going for a 1-for-50 consolidation. This, Brookside noted, would increase the share price.
“This is a pivotal moment for Brookside as we take meaningful strides to expand our footprint in the US market,” BRK chief David Prentice said.
“This listing aligns with our strategic objective to enhance our US visibility.”
The move makes sense at a fundamental level – Brookside’s flagship is in Oklahoma.
BRK last traded at 1cps.
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