Transition Therapeutics Inc., a leading tenant at MaRS, announced Thursday that its common shares would begin trading today on the NASDAQ Capital Market under the symbol “TTHI”. The company’s common shares will continue to trade on the Toronto Stock Exchange (TSX: TTH) in addition to NASDAQ.
This is another step in the tightly executed strategy of Transition’s management. In general, NASDAQ listing is a statement about the sustainable value of a company. Not only does NASDAQ have the world’s highest listing standards but it is also the largest technology market in the world: the most liquid, with largest amount of capital traded overall.
Wall Street wizards have been continuously inventing financial products based on NASDAQ indexes, such as the many flavours of industry-focused Exchange-Traded Funds (ETFs). For NASDAQ-listed companies that make it into the indexes, it means that there is a controlled influx of capital from institutional investors who tend to trade sectors as a whole rather than individual stocks. Better liquidity, more stable price, easier access to growth capital –- it is all around great news for Transition specifically (and there is a little afterglow for our biotech community in general.)
There is surely a good dose of glam factor in the event as well: Tony Cruz, Chief Executive Officer of Transition Therapeutics (TTHI) presided over the opening bell in celebration of the company’s listing on NASDAQ this morning at 9:30 a.m. ET.
Read the press release: Transition Therapeutics Inc. to Commence Trading on the NASDAQ Capital Market under Symbol “TTHI” (Aug 16, 2007)
Veronika Litinski provides advisory services to entrepreneurs and high growth companies, with a special focus on life sciences markets, specializing in corporate finance and business development.
