NASDAQ OMX Lists Chardan 2008 China Acquisition Corporation
Seen by many as a sign of the continued strengthening of trading ties between China and the U.S. the NASDAQ OMX Group, Inc. has announced that the recently established acquisition company, Chardan 2008 China Acquisition Corporation, has been listed on the NASDAQ Stock Exchange (NASDAQ: CACUA). Chardan is the first company of its kind to list on the NASDAQ stock market since the exchange approved the listing of acquisition companies earlier this year.
The Company’s initial public offering, together with private placements, generated estimated gross proceeds in excess of $56 million. Nett proceeds will be channeled into acquiring assets or operating businesses in China. Acquisition efforts will not be restricted to any particular industry or market sector in China.
Chardan 2008 China Acquisition Corp announced that, starting on 25 August 2008, it anticipates that investors may choose to trade separately the warrants and ordinary shares which are included in the company’s units. Units that are not split will continue to trade under the NASDAQ symbol CACUA, while ordinary shares will trade under CACA and warrants will trade as CACAW.
Chardan focuses on mid-sized Chinese companies that are seeking access to U.S. capital markets and set about acquiring these through merger, contractual control arrangement, share exchange or other similar means. To this end Chardan’s management has already completed initial public offers (IPOs) for three companies that have their primary operations in China and are all currently listed on NASDAQ’s Global Select Market.
Senior Vice President of NASDAQ OMX, Bob McCooey, noted that the U.S. capital markets “present a tremendous opportunity for emerging Chinese companies as they work to grow their businesses.” He also expressed his belief that by listing on NASDAQ with its stringent listing standards, acquisition companies, such as Chardan 2008 China Acquisition Corp, demonstrate commitment to investors.
The NASDAQ OMX Group is the largest exchange company in the world, delivering trading, public company services and exchange technology across six continents and supporting the operations of more than 70 exchanges in over 50 countries. NASDAQ OMX offers multiple capital raising solutions to its more that 3,900 listed companies around the globe, which all need to comply with its exacting listing standards. The NASDAQ listing of Chardan 2008 China Acquisition Corporation is an indication that the company has what it takes to make the grade, which certainly bodes well for investors.