On January 18, Natura &Co Announced Intention To End Secondary Listing Of ADSs On The NYSE, While Maintaining Its Primary Listing Of Common Shares On The B3 Stock Exchange In São Paulo
Portfolio Pulse from Benzinga Newsdesk
Natura &Co (NTCO) has announced its plan to delist its American Depositary Shares (ADSs) from the NYSE, while keeping its primary listing on the B3 stock exchange in São Paulo. The decision aligns with the company's strategy to simplify operations, given the low trading volume of its ADSs on the NYSE. The delisting is expected to be effective 10 days after filing a Form 25 with the SEC, with trading suspension anticipated around February 9, 2024. Natura &Co will not seek another exchange for the ADRs and will continue to uphold high disclosure standards in Brazil.
January 19, 2024 | 1:52 pm
News sentiment analysis
Sort by:
Descending
NEGATIVE IMPACT
Natura &Co's decision to delist its ADSs from the NYSE is expected to reduce its visibility in the US market. This could potentially lead to a decrease in liquidity and a short-term negative impact on the stock price.
The delisting of NTCO's ADSs from the NYSE is likely to reduce the stock's liquidity and visibility among US investors, which could lead to a decrease in demand and potentially a drop in the stock price in the short term. However, the impact may be mitigated if the majority of trading activity is indeed concentrated on the B3 exchange as stated by the company.
CONFIDENCE 85
IMPORTANCE 75
RELEVANCE 100