TORONTO, Feb. 27, 2012 /CNW/ - Northern Financial Corporation (TSX: NFC)
("Northern" or the "Company") announced that it has made an application
to voluntarily delist from the Toronto Stock Exchange on or prior to
March 27, 2012.
On November 4, 2011, the TSX informed Northern that it was reviewing the
eligibility for continued listing on TSX of the securities of the
Company pursuant to Part VII of The Toronto Stock Exchange Company
Manual, in particular with a view to compliance by the Company with
minimum market capitalization requirements.
The Company notes that while there has recently been a modest recovery
in global equity markets, ongoing economic and market volatility
continued to create difficult market conditions for the Company.
Issuers continue to delay coming to market, with TSX and TSX Venture
financing volumes in the mining sector down 79% in the quarter from the
prior year and down 13% from the second quarter. Retail investors
remain on the sidelines with trading volumes well below the norm. The
S&P/TSX Composite Index has declined 15% from March 31, 2011, while the
S&P/TSX Venture Composite Index declined 35% over the same period.
After careful consideration, the Company concluded it was in the best
interests of the company to apply to voluntarily delist from the TSX
and pursue a listing on TSX Venture Exchange. The Company has applied
to list its common shares on the TSX Venture Exchange to ensure,
subject to TSX Venture Exchange approval, continued and seamless
trading liquidity for shareholders, to the extent possible. The Company
notes that a transfer in its stock exchange listing to the TSX Venture
would provide greater operational efficiency and lower costs for the
Company, while allowing shareholders continued liquidity on a
recognized exchange. The TSX and TSX Venture are each owned and
operated by TMX Group Inc.
The voluntary delisting by the Company from TSX will occur on or before
March 27, 2012, failing which the TSX may delist the Company's
securities from trading on the TSX.
About Northern Financial Corporation
Northern Financial Corporation wholly owns Northern Securities Inc., a
full service investment dealer that provides financial advisory
services to retail and institutional clients and investment banking
services to small capitalization companies.
The Toronto Stock Exchange does not accept responsibility for the
adequacy or accuracy of this news release. This press release may
contain forward-looking statements with respect to the Company, its
operations, strategy, financial performance and condition. These
statements generally can be identified by use of forward looking words
such as "may", "will", "expect", "estimate", "anticipate", intends",
"believe" or "continue" or the negative thereof or similar variations.
The actual results and performance of the Company discussed herein
could differ materially from those expressed or implied by such
statements. Such statements are qualified in their entirety by the
inherent risks and uncertainties surrounding future expectations.
Important factors that could cause actual results to differ materially
from expectations include, among other things, general economic and
market factors, competition, changes in government regulations and the
factors described under "Risk Factors" in the Management's Discussion
and Analysis and Filing Statement of the Company which are available at
www.sedar.com. The cautionary statements qualify all forward-looking statements
attributable to the Company and persons acting on their behalf. Unless
otherwise stated, all forward-looking statements speak only as of the
date of this press release and the Company has no obligation to update
SOURCE Northern Financial Corporation
For further information:
Chairman and CEO
Senior Vice President and CFO