Mind you the BOD has not released it's best option for Listing in the USA at this point. An announcement is just around the corner
US opportunity
Having gained accelerated development pathway eligibility for each of its drug formulations in the US market, IHL is now looking to leverage that traction by exploring opportunities for a US listing – specifically the NYSE or Nasdaq.
And Latham said the basis for those talks progressing is the fact that IHL’s development model is viewed favourably by US investors.
“The feedback we have received from the US market and investment banks is that they see Incannex as a unique value proposition, particularly when looking at comparable companies in the US market, which are valued at over $US1 billion,” Latham said.
He cited the example of two North American clinical psychedelic research companies – Compass Pathways and MindMed – both of which already have a market cap of more than $US1bn.
Mindmed received its pre-IND feedback from the FDA for its proposed Phase 2 trial for LSD and anxiety in December 2020. IHL isn’t far behind as it’s in the process of compiling its own FDA pre-IND meeting package for a Phase 2 trial using psilocybin in patients with generalised anxiety disorder.
“For us, looking to list on a US main market is really about taking advantage of a global pool of investors who are interested in what we’re doing and to expand upon our ASX listing by attracting sophisticated investors globally,” Latham said.
Ultimately, the company’s standing in the psychedelic and cannabinoid research space is the “truly appreciated value driver” behind IHL, he added.
“We have secured IP protection, created and implemented a robust FDA regulatory strategy and US investors are starting to understand the upside potential of Incannex, simply due to targeting unmet medical conditions providing the company with significant commercial opportunity.”
Regarding your question on Price between the exchanges view the following
Summary When a company’s shares are listed on more than one exchange, it is said to be dual listed.
Dual listing allows a company to increase its access to capital and makes its shares more liquid.
The price of shares of a dual-listed company on two different exchanges should be exactly the same after accounting for the exchange rate.
Reasons Behind Dual Listing A company may choose to have its stock listed on more than one exchange for a variety of reasons.
1. Access to a larger capital base One of the reasons a company may resort to dual listing is the opportunity to raise more capital. It provides the company with access to a larger investor base.
2. Greater liquidity Additionally, dual listing increases the liquidity of the traded stock. It is because it allows a larger number of participants to engage in the buying and selling of the stock.
3. More trading time Furthermore, if a company is listed on an exchange in a different time zone, it provides participants opportunities to trade more often in a 24-hour period.
IHL Price at posting:
28.0¢ Sentiment: Buy Disclosure: Held
