Innovotech Inc., a Canadian biotechnology company currently listed on the TSX Venture Exchange, has announced its intention to apply for a stock quotation on the OTCQB Venture Market in the United States. This strategic move aims to enhance the company's profile within the U.S. investment community, making its shares more accessible to both retail and institutional investors across the border. The primary objective is to increase trading liquidity for Innovotech's common shares.
The OTCQB quotation will operate alongside the company's existing Canadian listing. According to the announcement, this parallel listing is not expected to impose significant additional compliance or reporting burdens on the company. As a foreign private issuer, Innovotech will continue to meet its disclosure obligations through the Canadian SEDAR+ system, which satisfies OTC market requirements under established exemptions for foreign companies. Admission to the OTCQB requires companies to meet specific financial standards, remain current in their reporting, and undergo an annual verification and management certification process.
In conjunction with the OTCQB application, Innovotech will also seek eligibility with the Depository Trust Company (DTC). This step is crucial as it would enable simplified electronic clearing and settlement of the company's common shares for U.S.-based investors, facilitating smoother transactions. The company specializes in advanced laboratory services and proprietary technologies, with a focus on biofilm science. It provides antimicrobial testing, pharmaceutical analysis, and industrial laboratory solutions, supported by products like its MBEC Assay® kit for high-throughput testing.
This development is significant as it represents a common pathway for Canadian-listed companies seeking to tap into the larger U.S. capital markets without undertaking a full uplist to a major U.S. exchange like the NASDAQ or NYSE. For investors, it potentially offers easier access to a growing biotechnology firm with expertise in areas critical to public health, such as antimicrobial resistance. The move could lead to greater analyst coverage, improved price discovery, and enhanced shareholder value through increased market participation. The company's press release, which contains forward-looking statements subject to risks and uncertainties, was originally published on www.newmediawire.com.
