Company wants to expand reach in US market
UK supermarket owner J Sainsbury has started trading its ADRs on the OTCQX market to expand its availability to US investors, becoming the 19th company listed on the London Stock Exchange to trade on the platform.
Sainsbury joins companies including EasyJet, Kingfisher, Sky, Tate & Lyle, Marks & Spencer and Severn Trent to trade on the New York-based OTCQX.
‘While we already run an established ADR program, the OTCQX platform will allow us to expand our reach to US shareholders, offering them greater flexibility and convenience when investing in our stock,’ says John Rogers, Sainsbury’s chief financial officer, in a press release.
Non-US companies list on QTCQX to help them gain access to US shareholders without having to complete a full stock market listing. To qualify for inclusion on OTCQX, companies must meet certain requirements including publishing up-to-date financial results in English.
The OTC Markets Group also operates the OTCQB Venture Marketplace, which is meant for start-ups and entrepreneurial companies in the US and abroad that either report to a US regulator or are listed on a qualified stock exchange.