- G Medical Innovations (GMV) has revealed advanced plans to shift from the ASX to the Nasdaq exchange
- The medical technology company believes the move will result in higher per-share price point, as U.S. investors have “greater exposure and familiarity to medical technology”
- The company has received in-principle advice from the ASX that it supports the move
- G Medical expects to complete the shift by Q3
- G Medical Innovations shares are steady today, priced at 5.1 cents
G Medical Innovations (GMV) has revealed advanced plans to shift from the ASX to the Nasdaq exchange, with the company hoping to achieve the proposed move by the end of the third quarter.
The proposed move will shift all ASX shares from the Sydney exchange to the New York exchange once the plan goes through.
The company has received in-principal advice from the ASX that it supports the move, subject to certain conditions.
Chief amongst these conditions is that the move is approved by a special resolution from shareholders.
The company has decided against pursuing a dual listing, being of the view that a single listing is less complex and costly.
Within that time will be a short period of privatization, which the company hopes will allow them to bring onboard some U.S. investors at an improved per-share price point.
The company believes the share price will bounce on the Nasdaq, as it has received advice from the U.S. that the Nasdaq has a greater understanding and appreciation for medical technology companies.
The move would appear to make sense, given the fact the company is not incorporated in Australia, nor does it have an operational base in Australia.
G Medical CEO Dr Yacov Geva said the proposed listing on the Nasdaq presented the company an opportunity that will “lead to a comprehensive re-rating of the company.”
“It gives shareholders exposure to a very well respected and regulated exchange where telehealth and medical technology is much better understood,” Yacov explained.
“There are also a number of U.S.-listed companies operating in the same sector as G Medical on which we can better benchmarked,” he continued.
“We have considerable interest from some experienced and well-regarded U.S. investors that recognise the potential for our independent diagnostic testing facilities operations, particularly as we gain traction in the U.S. hospital sector, and this has further crystallised our plans to list on the Nasdaq,” Dr Yacov stated.
G Medical Innovations shares are steady today, priced at 5.1 cents at 10:52 am AEST.