RE:RE:Spectral mgnt may requst an extension for a U.S. listing Today's Dimi announcement pretty much assures that the Board of Directors will seek a one year extension regarding the company seeking a listing on a U.S. exchange at the upcoming meeting.
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Spectral mgnt may requst an extension for a U.S. listing
Spectral hosted a Virtual Investor Day event on December 4, 2020. It was a two hour Zoom event. The first hour was spent with Spectral management talking about the company and it's achievements and the status of the Phase 3B test and the Dialco division. The second hour was addressing written questions submitted in advance of the event as well as questions coming in during the event.
Two thirds of the way thru the event I was disappointed that I had not heard any questions regarding the application for a listing on a U.S. exchange in 2021 and the tentative timing to initiate and complete the move. So, I submitted a question near the end of the Q &A session which they read almost verbatim. Also, my question was the second to the last question they addressed during the event.
"At this years Annual General Meeting (2020) shareholders approved a reverse stock split of 1:10 to 1:20 any time during the following 12 months. Does this mean that Spectral will initiate such a move before the end of May 2021, or is Spectral considering bringing this topic up again at next year's Annual General Meeting to extend the date for the reverse stock split?"
(I asked this question regarding a potential delay because the company had previously stated that the Covid virus had slowed down enrollment in the Phase 3B test to the extent that they needed to increase the number of test sites (hospitals) from 10 to 15 to complete the test by the original anticipated date.)
The question was answered by Chris Seto:
"So in respect to the share consolidation, we gained approval for the 12 month period. So if the consolidation has not been executed by the next Annual General Meeting we will have to come back to the shareholders and ask for a special resolution for share consolidation."
I believe Spectral's answer to my question leaves the door open for a delay in executing the reverse stock split as well as the application date for a U.S. listing by May 2021. I'm hopeful that if there is a delay, they can ultimately apply before the end of 2021.
In my opinion, Spectral shareholders and Spectral's share price will be best served if any application for a U.S. listing NOT be initiated until after a significant milestone be reached i.e. FDA approval for in-home use of Dimi or a "glowing" mid-test report for the Phase 3B PMX test currently being run, or halting the test mid way because results thus far will be adequate to move to the next step in the process for gaining FDA approval for PMX.
I'd much rather see a reverse stock split occur when the Canadian share price is at $1.50 to $2.00. Maybe then we only need a 1:5 reverse split. I believe Spectral management and the U.S. exchange would like to see a share price at least close to $10 (U.S.$) or more a share by listing time.