On September 11, 2009, the TSX Venture Exchange (“TSX”) announced that the temporary relief measures (“TRMs”) implemented by the TSXV will expire on September 30, 2009. The TSXV implemented the TRMs in November 2008. The TRMs allow TSXV listed issuers facing conditions of imminent financial hardship to take advantage of provisional relief from certain TSXV policy requirements.
The TRMs implemented by the TSXV include:
- flexibility and discretion by the TSXV in its application of continued listing requirements and determination of whether listed issuers should be transferred to NEX;
- issuance of shares and warrants by listed issuers in private placements for less than $0.05 per share, provided certain conditions are met;
- issuance of shares for debt listed issuers at deemed price per share of less than $0.05 per share, provided certain conditions are met;
- extension of the deadline to complete a qualifying transaction by a listed and trading capital pool company (“CPC”); and
- extension of the deadline to complete a qualifying transaction by a listed and trading CPC contemplating a combination with another CPC.
The TSX confirmed all of the TRMs will expire on September 30, 2009 except for the TRMs relating to CPCs and completion of qualifying transactions. Any CPC which is required to complete a qualifying transaction under TSXV policies at any time prior to March 31, 2010 may apply to the TSXV for an extension of that period to March 31, 2010. The deadline for such applications is the close of business on September 30, 2009.
If you have any questions about the TRMs or related matters, or if you would like assistance with the extension of time for your CPC, contact any member of Clark Wilson’s Corporate Finance & Securities Group.