How to purchase ADRs
To purchase ADR's, please contact your broker. An ADR is
created when a broker purchases LCT shares on the ASX on behalf of a client and delivers
those shares to the Bank of New York's local custodian bank, which then instructs the
depositary bank to issue Depositary Receipts. The Depositary Receipts may trade freely,
like any other security, in the OTC market. The establishment of LCTs sponsored Level 1
ADR program does not involve an offering or issue of new shares.
Benefits of ADRs:
- US investors often prefer to purchase ADRs rather than ordinary shares in the issuer's home
market because ADR's trade, clear and settle according to US market conventions.
- Easy to trade - quote in US dollars and are as liquid as the underlying security
- Easy to hold - ADR's settle and clear efficiently and pay dividends in US dollars.
Accounting and disclosure in internationally accepted formats.
- Overcomes obstacles that other funds and institutions may have in purchasing and
holding securities outside of their local market.
- Enables diversification into foreign securities.
For all those US residents willing and able to help LCT by investing in the company, the recently
established US ADR (American Depositary Receipt) Investment Program is now effective and fully available. The Bank of
New York is currently arranging market makers to streamline the whole process and in the meantime anyone keen on buying
(or selling) shares in Living Cell Technologies Limited from the US will be interested in how to invest in the LCT ADRs:
To purchase shares phone your share broker and tell them that "LVCLY" is the symbol for Living Cell Technologies ADRs.
One Living Cell Technologies ADR ("LVCLY") is equivalent to 10 Living Cell Technologies shares listed on the ASX ("LCT").
As an example in Australia if the LCT ASX share is at $0.13 per share in Australian dollars, LVCLY will be around $1.04 USD
per ADR - being 10 shares. ($1.00 AUD approximately $0.80 USD)
Information on LCT's ADR's including prices quoted and a historical chart of price trends can be found at
www.pinksheets.com - just enter the symbol LVCLY.
Traded as an OTC stock, it is significant that as a company already listed on the Australian Stock Exchange, LCT complies with the rigorous
ASX Listing Rules and Corporate Governance Guidelines, as outlined in LCT's Annual Financial Statements and also importantly LCT's accounts,
which are expressed in Australian Dollars, are audited.
Full service share brokers familiar with trading internationally and knowledgeable about ADRs shoud be able to assist interested investors.
(However some discount brokerages and on line trading operations may not be as familiar with ADRs).
If you deal with E*Trade you can call E*Trade’s customer service at 678-624-6210 outside the US or 800-387-2331 inside the US.
Should your share broker not be familiar with ADRs the following people will be able to assist you:
Violet Pagan, Vice President Depositary Receipts at the Bank of New York, who can be contacted by phone on : (212) 815 2276, or by
email: vpagan@bankofny.com
Jason Smith, Assistant Treasurer at the Bank of New York, phone
(212) 815 3874, or by email on
jsmith@bankofny.com
The team at the Bank of New York are happy to assist brokers and investors with any queries they may have.
About ADRs
ADR Frequently Asked Questions
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