Liquefied Natural Gas Ltd said that it would be changing its current Sponsored Level 1 American Depositary Receipt (ADR) ratio effective 23 September 2014.
The ratio will change from the current 1 ADR per 40 LNG common shares to 1 ADR per 4 LNG common shares. Existing ADRs will continue to be valid and will not have to be exchanged for new ADRs. The number of underlying LNG common shares will remain unchanged.
To implement the change, LNG ADR holders of record at the close of business on 19 September 2014, will receive 9 ADRs for each ADR held. Additional ADRs are expected to be distributed on or around 22 September 2014, the ADR payment date.
Maurice Brand, Managing Director of LNG, said: “LNG’s ADR share price has increased more than 1200% since the launch of the company’s ADR in January of this year. Changing the ADR ratio will bring the price more in line with our underlying shares traded in Australia and, we believe, encourage liquidity in the ADR. We feel this will allow our ADRs to appeal to a broader investor base in the US.”
Deutsche Bank is the exclusive depositary bank for the company’s ADR programme, which trades on the OTC platform in the US under the symbol LNGLY.
Other than the company’s shares traded on the ASX and the company’s ADR programme there are no further programmes or securities that are directly supported or affiliated with the company.
Adapted from press release by Ted Monroe
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/19092014/lng-ltd-to-change-adr-ratio-1431/