Southern Cross (ASX:SXG) mining intends to list on a Canadian stock market in mid-May.
The market is strongly supporting the move – SXG shares were up 15.84% to $1.98 per share at 11am AEDT on Tuesday.
SXG launched an IPO to hit the ASX in May of 2022 when TSXV-listed Mawson Gold spun out its gold assets.
That puts Southern Cross in a position where it has 184M shares on issue of which Mawson owns 51% (93.7M).
Mawson will distribute the SXG shares to its own shareholders after an “ASX vendor escrow” winds up on 16 May this year, all cards in order.
It is when these shares are released from escrow that Southern Cross wants to list on a Canadian exchange, such that it can access “a diverse class of global investors.”
“Canadian exchanges are home to over 40% of the world’s public mining companies,” SXG chief Michael Hudson said.
“A dual listing by SXG in both Australia and Canada will provide direct exposure to … North American investors.”
“Additionally, a dual listing will greatly facilitate the planned distribution of Mawson’s 51% SXG shareholding to North American-domiciled shareholders at the start of Q3 2024.”
The move makes sense to Southern Cross, a company which reported on Tuesday that 70% of its shareholder base aren’t even in Australia.
Whether Southern lists on the TSXV, CSE or TSX proper remains to be seen.
SXG last traded at $1.98.