Australasia-focused producer and explorer New Zealand Oil & Gas Limited (NZX/ASX:NZO), (NZO or the Company) is pleased to announce its intention to delist from the Main Board of NZX Limited (NZX) and move to a sole listing on the Australian Securities Exchange (ASX). This announcement, along with the accompanying shareholder letter, outlines the factors that underpin this decision.
New Zealand Oil & Gas to be solely listed on ASX.
NZO’s Board of Directors (Board) has resolved that the Company will delist from the Main Board of the NZX and move to a sole listing on the ASX. NZO currently has a primary listing and quotation of its ordinary shares on ASX and a foreign exempt listing on NZX.
NZX Regulation Limited (NZ RegCo) has already approved the delisting, subject to certain customary conditions.
The last day of trading in NZO shares on NZX will be Monday, 24 June 2024, and a trading suspension will be applied to NZO shares on the NZX at close of trading on that day. NZO shares will be delisted from the NZX at close of trading on Wednesday 26 June 2024 and NZO’s sole listing on the ASX will commence from ASX market open on Friday, 28 June 2024.
Multiple factors were behind this decision to solely list on ASX.
The three main reasons why the Board of NZO has decided to delist from the NZX are:
1. To enhance the trading dynamics of NZO's securities by focusing activity on a single market with a larger capital and investor base, actively trading in comparable companies. The Board anticipates improved trading volumes, and a share price thatmore accurately represents the underlying value of NZO's shares.
2. In recent years, NZO has shifted the focus of its operations from New Zealand to Australia, with the result that the majority of NZO’s revenue is now attributable to assets outside New Zealand. This means that retaining an ASX listing is more consistent withNZO’s current asset profile and the strategic focus of its operations than a sole listing onNZX.
3. NZO’s ongoing desire to trim its cost base. As part of these efforts, the Company will materially reduce its total listing fees expense by moving to a sole listing on the ASX (where it already had a primary listing).