– *updated August 31, 2015 –
The Toronto Stock Exchange has different listing requirements for natural resource, finance, and industrial and technology companies. The attached chart addresses the requirements of exploration and mining companies only.
We are always open to talk to corporate executives who are considering listing on the TSX. The listing requirements can sometimes be confusing and waivers can be applied for in certain circumstances when a company desiring to list is strong in all listing categories but for one. Do feel free to book an appointment with us if you need assistance to determine if your company qualifies to list on the TSX or other exchange.
|Requirements||In Production Mining Companies (TSX Exempt)||Pre-Production Feasibility Stage Mining Companies (Non-Exempt Producer)||Exploration and Development Mining Companies (Non Exempt Exploration & Development Stage)|
|Property Requirements||3 years proven and probable reserves as estimated by an independent qualified person.||3 years proven and probable reserves as estimated by an independent qualified person. If not in production, a production decision made.||Advanced Exploration Property. Minimum 50% ownership in the property.|
|Recommended Work Program||Commercial level mining operations.||Bringing the mine into commercial production.||$750,000 on advanced exploration property as recommended in independent technical report.|
|Net Tangible Assets||$7,500,000||$4,000,000||$3,000,000|
|Pre-Tax Cash Flow Last Year||$700,000 in last fiscal year and average of $500,000 for past two fiscal years.||N/A||N/A|
|Profitability||Pre-tax profitability from ongoing operations in last fiscal year.||Evidence indicating a reasonable likelihood of future profitability supported by a feasibility study or historical production and financial performance.||N/A|
|# of Public Board Lot Holders||300||300||300|
|Minimum Free Trading||1,000,000||1,000,000||1,000,000|
|Value of Free Trading Public Float||C$4,000,000||C$4,000,000||C$4,000,000|
|Market value of Issued Securities to be Listed|
|Minimum Cash in Treasury||N/A||Sufficient to bring the property into commercial production.||Sufficient to complete recommended programs, plus 18 months G&A, anticipated property payments and capital expenditures.|
|Minimum Additional Working Capital||Adequate working capital to carry on the business.||Adequate for all budgeted capital expenditures and to carry on the business.||C$2,000,000|
|Form 43-101 Technical Report||Yes.||Yes. Plus management prepared 18 month projection (by quarter of sources and use of funds, signed by CFO.||Yes. Plus management prepared 18 month projection (by quarter of sources and use of funds, signed by CFO.|
Note: (1) The TSX may waive the sponsorship requirement if sufficient 3rd party due diligence has been conducted (ie. underwriter review in concurrent initial public offering.)
The listing staff of the Toronto Stock Exchange will also look at the suitability of all officers, directors and stockholders holding 10% or more of the company’s stock. Companies must have at least two independent directors. They must also have a Toronto Stock Exchange participating organization sponsor their listing unless they meet the senior company listing criteria.
All companies listed on the Toronto Stock Exchange must agree to abide by the corporate governance requirements of the exchange.
For the listing criteria of technology, industrial and research and development companies click here or go to the TSX website. TSX – Industrial, Technology, Research & Development.
Other Articles You May Find of Interest:
- Master Chart of the Listing Requirements of the NYSE, NYSE-MKT, Nasdaq, TSX, TSX Venture Exchange, Aequitas Neo and CSE – Aug 30, 2015
- Listing Requirements of the New York Stock Exchange – Aug 30, 2015
- Listing Requirements of the Toronto Stock Exchange – Industrial, Tech., Research & Dev. Issuers – Aug 30, 2015
- Listing Requirements of NASDAQ Private Market - Aug 29, 2015
- Listing Requirements of NYSE-MKT - Aug 30, 2015
- Listing Requirements of the Canadian Securities Exchange – CSE - Aug 24, 2015
- Listing Requirements of the NASDAQ Stock Market - Aug 29, 2015
- Listing Requirements of the TSX Venture Exchange (TSX-V) – Exploration and Mining Companies - Aug 29, 2015
- Listing Requirements of the TSX Venture Exchange (TSX-V) – Industrial, Technology, Life Sciences, Real Estate and Investment Companies - Aug 30, 2015
- The Cost of Listing on a Stock Exchange or Obtaining a Quote in North America - Mar 11, 2016
* * *
DisclaimerThe articles on this website are not intended to create, and do not create, an attorney-client relationship. You should not act or rely on information on this website without first seeking the advice of a lawyer. This material is intended for general information purposes only and does not constitute legal advice. You are advised to contact legal counsel prior to undertaking any securities transaction. Laws change and there are subtle nuances to the rules that may apply in your particular circumstance.