German carbon black company Pyrolyx will delist in Germany by end-March 2020 and consolidate all share trading to the Australian Stock Exchange (ASX), since a majority of Pyrolyx’s shareholders are Australian. However, the corporate structure of the company will not be affected by delisting from the German exchanges.
Pyrolyx plans to reduce the cost and complexity of multiple listings through the change, as there are varying requirements between German and Australian capital markets law. Consolidating trading onto the ASX is also expected to increase liquidity of its shares.
According to Pyrolyx, as CDIs represent the beneficial interest in the underlying shares in a foreign company, itcan be traded on the ASX just as local companies.Additionally, all holders of Pyrolyx shares will be able to convert their holding of shares into CDIs at zero cost.
Michael Triguboff, Pyrolyx’s CEO, said: “The delisting of Pyrolyx in Germany was considered after a number of major shareholders, representing in aggregate the majority of shares issued, requested our management to consider a German delisting. Pyrolyx’s business operations remain unaffected by this decision.”
Currently, Pyrolyx’s shares are listed on the stock exchanges in Frankfurt and Dusseldorf, the Munich Stock Exchange and the ASX as PLX (ASX: PLX).