[Federal Register Volume 59, Number 55 (Tuesday, March 22, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-6665]
[[Page Unknown]]
[Federal Register: March 22, 1994]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[File No. 1-10180]
Issuer Delisting; Application To Withdraw From Listing and
Registration; (Norcen Energy Resources Limited, Common Shares, No Par
Value)
March 16, 1994.
Norcen Energy Resources Limited (``Company'') has filed an
application with the Securities and Exchange Commission
(``Commission''), pursuant to section 12(d) of the Securities Exchange
Act of 1934 (``Act'') and Rule 12d2-2(d) promulgated thereunder, to
withdraw the above specified security from listing and registration on
the American Stock Exchange, Inc. (``Amex'').
The reasons alleged in the application for withdrawing this
security from listing and registration include the following:
According to the Company, its Board of Directors (the ``Board'')
unanimously approved resolutions on February 15, 1994, to withdraw the
Company's Common Shares from listing on the Amex. According to the
Company, the decision of the Board followed a lengthy study of the
matter, and was based upon the belief that delisting of the Company's
Common Shares on Amex will not prejudice its shareholders because.
(1) The Corporation believes that low trading volumes existed
between 1989 through to 1992, in that trading on the Amex averaged a
little over 2% of total trading of the Company's shares (3.8% Multiple
Voting Ordinary Shares (``MVOS'') and 0.82% Subordinated Voting
Ordinary Shares (``SVOS''). The same pattern continued in 1993 when the
average daily total was 3.3% of total trading, regardless of the
reclassification of the Company's MVOS and SVOS into Common Shares in
May 1993. Further, the 1993 trading percentage reflects two atypical
trading periods, namely the last week of April when approximately
350,000 MVOS traded and September 16 when 210,000 Common Shares traded.
These two periods accounted for approximately 50% of 1993 trading on
the Amex. The Company is further of the opinion that no increase in the
trading volume of its shares is likely in the foreseeable future;
(2) The Company believes that the Amex annual sustaining fees as
well as fees associated with additional listing applications and other
incremental administrative costs arising from the listing, are not
justified nor are they economical in light of the volumes traded and
the Company's small shareholder base in the U.S.;
(3) The Company believes based upon solicited opinions of U.S.
institutional holders, in particular four institutions representing
approximately 1,445,000 of 1,814,414 shares held by identified U.S.
institutional holders, that Norcen's Amex listing adds little to the
attractiveness of the stock from an institutional investor's
perspective; and
(4) The Company's shares are currently listed on two major Canadian
stock exchanges, the Toronto Stock Exchange (``TSE'') and the Montreal
Exchange, thereby providing readily available and more liquid markets
for U.S. shareholders. For example, average daily volumes of the
Company's SVOS traded on the TSE in 1992 was 50,398 as opposed to 187
traded on the Amex.
Any interested person may, on or before April 6, 1994, submit by
letter to the Secretary of the Securities and Exchange Commission, 450
Fifth Street, NW., Washington, DC 20549, facts bearing upon whether the
application has been made in accordance with the rules of the exchanges
and what terms, if any, should be imposed by the Commission for the
protection of investors. The Commission, based on the information
submitted to it, will issue an order granting the application after the
date mentioned above unless the Commission determines to order a
hearing on the matter.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.
Jonathan G. Katz,
Secretary.
[FR Doc. 94-6665 Filed 3-21-94; 8:45 am]
BILLING CODE 8010-01-M
