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 “TTHIâ€?. 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.
