When a stock gets listed on two or more stock exchanges, we say that the stock has a dual listing.
Why companies go for dual listing?
The biggest advantage of dual listing is that the companies get to address a large group of prospective investors. Dual listing helps in improving the marketability of the company’s stock and spread awareness about the company. As such, companies can raise capital from different markets as per their requirements in the future.
Drawback of Dual Listing:
The drawbacks of dual listing are the additional expenses which the companies have to bear for getting initially listed followed by annual listing expenses of various stock exchanges. These companies have to comply with the listing requirements, which become more complex when the stock exchanges are located in a foreign country.
ASX Listing Process:
For a stock to get listed on ASX, a company must follow seven steps, and it requires around 19 weeks for the entire process. Let us get to know about the process.
Some of ASX listed technology companies with dual listing
Immutep Limited (ASX: IMM)
Immutep Limited (ASX: IMM) is not only listed on ASX but also on the NASDAQ Global Market under the ticker IMMP in the United States. Immutep Limited is a biotechnology and medical research company and is the global leader in understanding and development of therapeutics that regulate Lymphocyte Activation Gene-3, which is a cell surface molecule and plays an important part in controlling T cells.
Application of Lymphocyte-activation gene 3:
- Adjuvant to cancer vaccine
Genetic Technologies Limited (ASX: GTG)
- GeneType for Breast Cancer: This test helps in determining the risk of developing sporadic breast cancer in females over a period.
- GeneType for Colorectal Cancer: This test helps in determining the risk of developing colorectal cancer in a patient over a period. It combines patient age, family history, as well as genetic markers to provide a more precise evaluation of colorectal cancer risk.
Kazia Therapeutics Limited (ASX: KZA)
Kazia Therapeutics Limited (ASX: KZA) is a biotechnology company which focuses on oncology and develops innovative anti-cancer drugs. The company collaborates with the leading researchers as well as drug developers around the world to present a diversified portfolio of new cancer therapies. The company is listed on ASX and has American Depository Receipts (ADRs) listed on NASDAQ.
Foreign companies listed during 2019 on ASX:
In 2019, many technology companies made their debut on ASX. These companies were from Australia as well as from overseas. Below are the three companies outside Australia which got listed on ASX.
Life360 Inc (ASX: 360)
Life360 Inc (ASX: 360) is headquartered in San Francisco and got listed on ASX on 10 May 2019. Life360 Inc provides location-based services application for its customers around the world to track their contacts along with an integrated driver-protect facility that establishes contact with emergency services.
FINEOS Corporation Holdings Plc (ASX: FCL)
FINEOS Corporation Holdings Plc (ASX: FCL) financial technology company headquartered in Dublin, Ireland and got listed on ASX on 16 August 2019. The company is engaged in the research, development, marketing and supply of software products for the Life, Accident and Health insurance industries.
Splitit Payments Ltd (ASX: SPT)
Splitit Payments Ltd (ASX: SPT) is an Israeli company which got listed on ASX on 29 January 2019 and is headquartered in the US. The company provides credit card-based instalment solution to businesses and merchants.
Recent Interest from Overseas:
Recently, there is a buzz in the market that the parent company of Booking.com and agoda.com is taking up 4.7% equity interest in Serko Limited (ASX: SKO). Serko Limited is a dual listed (NZSX and ASX) travel software company which provides integrated, cloud-based corporate travel booking and expense management solutions.
Booking Holdings is a NASDAQ listed company and is a recognised frontrunner in online travel as well as associated services. Its brands comprise of Booking.Com, KAYAK, Agoda, Priceline, Rentalcars.Com and OpenTable.
Serko Limited recently released an announcement related to the completion of its placement NZ$56 million which includes NZ$40 million primary issuance and sell down of ~ NZ$16 million of existing shares by certain directors and employees. The company highlighted that Booking Holdings Inc via its wholly owned subsidiary took up 4,331,683 shares, equivalent to 4.7% shares in the company by investing NZ$17.5 million.
The company intends to further raise ~ NZ$5 million through a Share Purchase Plan. The fund raised by SKO would be used for fast-tracking the global rollout of Serko Zeno as well as grow marketplace content.
Stock Information (as on 29 October 2019) -
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