The announcement that the Frankfurt stock exchange is going to shut down its unregulated market segment has left companies with little time to rethink strategies and evaluate alternative listing venues.
By the third quarter of 2012, issuers must either upgrade their listing to a higher segment or their shares or global depositary receipts (GDRs) will be delisted. It is likely that shareholders will not be compensated.
Manuel Lorenz of Baker & McKenzie in Frankfurt urged those issuers wanting to relist to a more credible segment to act extremely fast. You can read more on the implications of the move for investors and issuers here.
Issuers looking to upgrade...