CENTENNIAL, CO - NioCorp Developments Ltd. (NASDAQ:NB)(TSX:NB), a company focused on the development of a critical minerals project in Southeast Nebraska, has announced its decision to voluntarily delist its common shares from the Toronto Stock Exchange (TSX).
The company's board of directors approved the delisting, which is expected to take effect after the close of markets on May 3, 2024, pending TSX's approval. NioCorp will continue to trade on the Nasdaq Capital Market under the ticker symbol "NB".
The decision to delist from TSX was influenced by the fact that over 90% of NioCorp's average daily trading volume is executed on the Nasdaq. The board determined that the benefits of maintaining a TSX listing do not justify the expenses and administrative costs involved. As an alternative trading venue is available on the Nasdaq, shareholder approval for the delisting is not required.
Despite the delisting, NioCorp will maintain its status as a reporting issuer in Canada and will adhere to the disclosure requirements under Canadian securities laws. Canadian shareholders with the ability to trade securities listed on the Nasdaq through their brokers will not be affected by this change.
NioCorp is developing the Elk Creek Critical Minerals Project, which is expected to produce niobium, scandium, and titanium, with the potential to produce several rare earth elements. These materials have applications across various industries, including automotive, aerospace, and defense. The company's forward-looking statements include expectations of receiving sufficient project financing and the anticipated benefits of its business combination and financing agreements.
This news article is based on a press release statement from NioCorp Developments Ltd.
InvestingPro Insights
As NioCorp Developments Ltd. (NASDAQ:NB) transitions its focus from the Toronto Stock Exchange to the Nasdaq, investors are keen to understand the financial health and future prospects of the company. According to InvestingPro data, NioCorp's recent performance indicates significant challenges:
- The company's Price / Book ratio as of Q2 2024 stands at -16.25, reflecting potential concerns over asset valuation or investor expectations.
- NioCorp's Operating Income was reported at -39.49 million USD, highlighting the company's struggles to generate profit from its core operations during this period.
- Despite a positive 1 Month Price Total Return of 9.2%, the company has experienced a notable -58.45% 1 Year Price Total Return, indicating a steep decline over a longer-term horizon.
InvestingPro Tips also shed light on the company's financial situation:
- NioCorp suffers from weak gross profit margins, which is a critical aspect to consider when assessing the company's ability to turn revenues into profits.
- Analysts are not optimistic about the company's profitability in the short term, suggesting that potential investors should brace for continued financial challenges.
For those interested in a deeper analysis, InvestingPro offers additional insights and metrics on NioCorp Developments Ltd., which can be found at https://www.investing.com/pro/NB. There are 5 additional InvestingPro Tips available to help users make more informed investment decisions. To access these valuable insights, use the coupon code PRONEWS24 for an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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